There's an interesting misconception in CRE, even among those practiced in it, though likely not before the global financial crisis. It's this: the Federal Reserve raises interest rates and financing for commercial real estate immediately feels the impact.

And that is true, there is an immediate impact. "The effects of Fed rate hikes are felt very quickly in commercial real estate, or any highly leveraged industry, for that matter," as Kevin Swill, CEO of Thirty Capital Financial, tells GlobeSt.com. "If you think we need to wait six months to see the effects of rate hikes, you're not following the volume of caps we see very closely. Ask any borrower that needs to refi a loan or buy a springing cap how long it takes for rate hikes to hurt."

"The June increase of 75 basis points was the biggest single increase in rates in nearly three decades, and at its July meeting, the Fed matched that increase for the second time—its fourth increase this year," says Dianne Crocker, principal analyst at LightBox. "The higher costs of capital are forcing commercial real estate professionals to adjust to a new landscape and the need to reevaluate their market positions and adjust expectations."