Real Estate

New York, it may be time to worry about rising interest rates

therealdeal.comThe Federal Reserve is likely to raise short-term interest rates later this year for the first time since 2006. Will it throttle the commercial real estate boom? That’s a multibillion-dollar question for investors.

Real estate insiders talk about the rate hike the way doctors talk about wine: healthy in moderate doses. Even if higher rates increase the cost of borrowing, the argument goes, they reflect an improving economy, which should boost rental income and, in turn, property values.

So no reason to worry? Not quite.

Categories: Real Estate

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