Learn how the terminal capitalization rate estimates property resale value at the end of the holding period, with examples ...

Understand the influence of interest rates on property values, and how they affect mortgage costs and investment capital to ...

Conventional wisdom has long said: where interest rates go, cap rates soon follow. In other words, when the cost of capital is high, so too is the ratio of a property’s net operating income to its ...

Three years ago—when the Fed began raising interest rates to help stem high inflation—a valuation gap emerged between public and private real estate as evidenced by the implied cap rate from Nareit’s ...

XLRE holds data center REITs including Equinix and Digital Realty that benefit from AI infrastructure spending. Declining interest rates compress cap rates and raise property valuations through lower ...

Listed REITs are expected to return lower to mid-double digits at the index level in 2026, according to a recent report by Cohen & Steers. Listed REIT returns are represented by the FTSE Nareit All ...

The Federal Reserve has begun cutting rates. Borrowing costs should be falling. Commercial real estate should be breathing a sigh of relief. Yet the sector remains locked in a frustrating stalemate, ...

Forbes contributors publish independent expert analyses and insights. John Navin is a Colorado-based journalist who writes about stocks. Real estate stocks benefit greatly from interest rate cuts, if ...