1 hr 7 min

CPI inflation is down. Are interest rates next‪?‬ The Gray Report Podcast

    • Investing

Consumer price index numbers show inflation down from 3.5% to 3.4% year-over-year in April, with monthly inflation numbers falling from 0.4% to 0.3%. It may be a bumpy road to the Federal Reserve's inflation target, but given the moderation in the job market along with these latest numbers from the CPI, speculation that the Fed will lower interest rates in September may have some validity, but in the meantime, elevated interest rates will put pressure on multifamily borrowers as the issue of loan maturities persists as a background factor that continues to shape the motivations of apartment buyers and sellers.

Sources discussed in this episode:

Bureau of Labor Statistics: “Consumer Price Index, April 2024” - https://www.bls.gov/news.release/cpi.t02.htm

Indianapolis Business Journal: “Timeline firming up for converting Gold Building to apartments as construction costs climb”

CBRE: “Some Distress Will Emerge Amid Wall of Loan Maturities” - https://www.cbre.com/insights/briefs/some-distress-will-emerge-amid-wall-of-loan-maturities

Moody’s Analytics: “Q1 2024: Top/Bottom Performing Multifamily Markets” - https://cre.moodysanalytics.com/insights/cre-news/q1-2024-top-bottom-performing-multifamily-markets/

Yardi Matrix: “Research Bulletin: Rent Growth Continues in Many Secondary Markets” - https://www.yardimatrix.com/publications/download/file/5619-MatrixBulletin-MultifamilyForecast-May2024

For the latest multifamily news from across the internet, visit the Gray Report website: ⁠https://www.grayreport.com/⁠

Sign up for our free multifamily newsletter here: ⁠https://www.graycapitalllc.com/newsletter⁠

DISCLAIMERS: This video does not constitute professional financial advice and is for educational/entertainment purposes only. This video is not an offer to invest. Any offering would be made through a private placement memorandum and would be limited to accredited investors.

Consumer price index numbers show inflation down from 3.5% to 3.4% year-over-year in April, with monthly inflation numbers falling from 0.4% to 0.3%. It may be a bumpy road to the Federal Reserve's inflation target, but given the moderation in the job market along with these latest numbers from the CPI, speculation that the Fed will lower interest rates in September may have some validity, but in the meantime, elevated interest rates will put pressure on multifamily borrowers as the issue of loan maturities persists as a background factor that continues to shape the motivations of apartment buyers and sellers.

Sources discussed in this episode:

Bureau of Labor Statistics: “Consumer Price Index, April 2024” - https://www.bls.gov/news.release/cpi.t02.htm

Indianapolis Business Journal: “Timeline firming up for converting Gold Building to apartments as construction costs climb”

CBRE: “Some Distress Will Emerge Amid Wall of Loan Maturities” - https://www.cbre.com/insights/briefs/some-distress-will-emerge-amid-wall-of-loan-maturities

Moody’s Analytics: “Q1 2024: Top/Bottom Performing Multifamily Markets” - https://cre.moodysanalytics.com/insights/cre-news/q1-2024-top-bottom-performing-multifamily-markets/

Yardi Matrix: “Research Bulletin: Rent Growth Continues in Many Secondary Markets” - https://www.yardimatrix.com/publications/download/file/5619-MatrixBulletin-MultifamilyForecast-May2024

For the latest multifamily news from across the internet, visit the Gray Report website: ⁠https://www.grayreport.com/⁠

Sign up for our free multifamily newsletter here: ⁠https://www.graycapitalllc.com/newsletter⁠

DISCLAIMERS: This video does not constitute professional financial advice and is for educational/entertainment purposes only. This video is not an offer to invest. Any offering would be made through a private placement memorandum and would be limited to accredited investors.

1 hr 7 min