According to CBRE’s 2025 U.S. Real Estate Market Outlook, the American economy is expected to experience above-average growth driven by consumer spending. This could potentially lead to sustained inflation and higher interest rates in the future.
CBRE predicts several positive developments for 2025, including a modest increase in commercial real estate investment volume, stabilization of office vacancy rates, and growth in occupancy and rents for multifamily properties despite increased supply. The firm also anticipates potential impacts on retail and industrial & logistics sectors due to anticipated tariffs on foreign goods.
Richard Barkham, CBRE’s global chief economist and global head of research states that the U.S. economy has achieved a rare “soft landing” despite rising interest rates, leading to an optimistic outlook for 2025. However, there are still risks such as the large fiscal deficit in the U.S., which can contribute to volatility in bond markets as well as concerns about China’s economic stability.
