JUST IN: The 10-year note yield is now officially above the median cap rate for the first time since 2008, according to Reventure Consulting.
In simple terms, the return on an investment property is now BELOW the 10-year note yield.
It should be no surprise that investor purchases are now down a massive 45% this year.
As rates continue to rise, investors will continue to scale back.
We should see 8% mortgages this week and 9% to 10% mortgages by early-2024.
This can only last for so long.