"It's Too Early to Batten Down the Hatches"

The underlying fundamentals of the real estate market remain healthy, according to a DWS report,

By Tanya Sterling | March 14, 2019 at 05:00 AM

CHICAGO—With unemployment near a 50-year low and more job openings than there are unemployed people to fill them, the US economy is healthy. Fiscal stimulus and positive momentum will sustain real estate absorption and there will be solid growth throughout the remainder of this year and likely into next year. Limited by rising construction costs and labor shortages, supply should remain manageable and with vacancy rates already low, this environment should generate healthy rent growth, according to a recent report by DWS Group.

“The underlying fundamentals of the real estate market remain healthy. Therefore, our view is that it is too early to batten down the hatches, shunning growth oriented sectors, markets, and assets that can thrive amid strong fundamentals,” said Todd Henderson, Head of Real Estate for the Americas at DWS.

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