Commercial Real Estate Volume Trends Upward
Commercial real estate has seen some strong numbers thus far in 2018 but how long will this upward trend hold up. Deals are reportedly up 6.7 percent in the first quarter of this year, according to National Mortgage News. The publication also reports that increased interest rates and a diminishing demand for commercial-property space could impact the future of commercial real estate for the worse.
"Heavy supply is looming in the apartment, hotel and industrial sectors, while technological innovation is crimping demand for both office and retail space," according to Ten-X Commercial's decade-wide research, as cited by NMN.
"Volume for the quarter, which reached $107 billion, was down 14% from the previous three months, though companies often rush to close deals before year-end, making for a big fourth period."
So, while these potential highs may take slight shots in the second and third quarter of 2018, the fourth quarter has the ability to save the day for the commercial real estate across the U.S.
To learn more about the commercial real estate volume and the dangers it faces, click on the image above.