0.25% Rate Hike: What Breaks Next?

The Federal Reserve’s just-announced rate hike of 25 BPS puts more strain on an economy under increasing pressure, and commercial real estate markets are among the many areas of the economy that are vulnerable to these rising rates. At the same time, the the growing chasm between expensive mortgage payments and more-affordable rental prices will continue to bolster multifamily demand and drive would-be homebuyers into the rental market.