Interest Rate

Topic: INFLATION, INTEREST RATES

Impacts of Inflation and Interest Rates on Commercial Real Estate

Inflation and interest rates can both have a significant impact on commercial real estate. Inflation is the general increase in prices for goods and services over time. When the cost of goods and services increases, the value of money decreases, which can lead to higher real estate prices. As the cost of building and maintaining properties increases due to inflation, the prices of those properties go up.

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