CPT - 2024 Real Estate Supply Report

2024-02-13 11:05:46 ET

Summary

• 2024 marks the end of a wave of construction inspired by zero interest rate policy, transitioning real estate into a new era of scarcity.
• The current high level of deliveries in 2024 does not indicate a high supply year, but rather reflects the starts from 6 months to 3 years ago.
• The outlook for real estate supply is positive, with fewer deliveries expected in 2025 and 2026 due to a decrease in new permits and the restoration of normal interest rates.

Supply and demand remain the key factors in determining winners and losers in real estate.

2024 is going to be a particularly interesting year for new supply of real estate because it marks the last wave of ZIRP (zero interest rate policy) inspired construction. It represents the transition from an era of perpetual full or oversupply into a new era of scarcity....

For further details see: