In a new report from the Real Estate Board of New York (REBNY), the organization found that confidence among commercial real estate brokers is on the upswing, while confidence among residential brokers is on the decline. The report, which is REBNY’s Real Estate Broker Confidence Index for the second half of 2024, marks the first time since early 2022 that confidence among commercial brokers is in positive territory. Meanwhile, the report shows a continued decline in confidence among residential brokers since the end of 2023.

The report’s Commercial Current Confidence Index (CCI) shows a significant increase, with a jump from -23.1 to 25.7. This marks the first time the index has been in positive territory since the second quarter of 2022. The report also shows a notable increase in the six-month outlook for the commercial sector, with the Expectations Index rising from 7.2 to 57.8. The report’s authors attribute the increase in confidence to a number of factors, including increased certainty following the federal elections, a strengthening retail leasing market, and the approval of the City of Yes initiative.

In contrast, the report shows a continued decline in confidence among residential brokers. The Residential CCI fell to -13.6, down from -6.6 in the first half of the year. The report’s authors point to regulatory decisions and ongoing challenges related to interest rates and inventory as key factors weighing on residential broker sentiment.