The 27% drop in the price of residential REITs since late February is not a sign that house prices are set for a significant fall. The past relationship with house prices has been poor and on an annual basis single-family REIT prices are down by only 2%, a similar decline to that seen in late 2018. That fits with our view that a lack of forced sellers will keep house price falls under 4% y/y.
Become a client to read more
This is premium content that requires an active Capital Economics subscription to view.
Already have an account?
You may already have access to this premium content as part of a paid subscription.
Sign in to read the content in full or get details of how you can access it
Register for free
Sign up for a free account to gain:
- Unlock additional content
- Register for Capital Economics events
- Receive email updates and economist-curated newsletters
- Request a free trial of our services