Opinions are starting to pile up that commercial real estate will remain hot, prices will rise, and as a result cap rates fall.
The National Association of Realtors released an analysis that said cap rates were likely to keep compressing in 2022 despite rising interest rates.
Although typically rising interest rates would push up mortgage costs, creating downward pressure on property prices, that may not be the case, at least for now, because other factors keep pushing up prices and, in turn, further compress cap rates.
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