Your opinion: When will transactions pick up?

[Zachary Inman]

January apartment transaction volume, tracked by total dollars traded, ranks as the slowest month since the pandemic lockdown period in spring 2020 (MSCI Real Capital Analytics). This is about what everyone expected, a natural reaction to elevated rates. 

When do you think that transactions will pick up?

[Brad Jacobson]

I imagine transaction volume will steadily rise as people become more comfortable with the 6-7% rates.  However, affordability is at an all time low so I doubt we'll see a dramatic increase in transaction volume until rates come back down.  January's inflation numbers weren't good either so it's unlikely we'll see lower rates again soon.  Sellers will need to keep coming down to match the in-affordability created by bad fiscal policy since Covid.