Nashville, Tennessee, leaped over the capitals of North Carolina and Texas to become the most promising market for real estate and investor demand next year in the latest ranking from an influential industry research group. Nashville moved to the top spot from No. 3 on the annual “Emerging Trends in Real Estate” report.
Thanks to the rollout of coronavirus vaccines, the global economy is slowly starting to emerge from the pandemic. But Covid-19 has left one very destructive economic issue in its wake: disruption to global supply chains.
REIT share prices were little changed last week, with the FTSE Nareit All Equity REITs Index total return edging down 0.3%. Broader markets rose by less than 1%, with the S&P 500 and Russell 1000 each up 0.8%. By property sector, data center REITs declined 4.0%, lodging was down 2.0%, and infrastructure was 1.7% lower.
Home prices rose to a fever pitch this summer, with annual price gains reaching another all-time high in August at 18.1%. Ongoing affordability changes within the supply-constricted market have also been exacerbated by an influx in homebuying activity from investors.
Consumers spent at a much faster pace than expected in September, defying expectations for a pullback amid persuasive supply chain problems, the Census Bureau reported Friday. Retail sales for the month increased by 0.7%.
So far, it appears that the debt-induced collapse of Evergrande Group will indeed drag down a significant portion of China’s real estate market. About two-fifths of Chinese development companies are at risk of defaulting on bonds sold to international investors.
