Real Estate Investors Awaiting Price Adjustments

Real estate investors are expecting to see price adjustments due to the drop in investment transactions over the past couple of months caused by the steepest and most rapid rise in interest rates. While a recession could potentially diminish tenant demand, inflation could improve real estate's profile for some investors who plan to hold it for the long term. Moreover, investors predict a recession could also boost employees' desire to work in the office rather than from home. Interest rates are the medicine with discomforting side effects as central bankers try to reintroduce slack into the system. The Bank of Canada leads in raising interest rates and may take the lead on cutting them again.