A Vibrant Economy Makes for a Net Positive CRE Market Going Forward
Within a few months, the current economic expansion will begin its 10th year. Given the level of present momentum, there is every reason to believe that the current expansion cycle will become the longest in U.S. economic history.
Though many have complained about slow wage and GDP growth, commentators going forward are likely to consider the past few years as very good ones for the U.S., years associated with steadily declining unemployment, low inflation, responsive monetary policymaking, and surging asset prices. After years of surprisingly strong profit growth, corporate America is generally healthy and banks are lending again. The recently passed federal tax cut will translate into even more liquidity providing greater incentives to pursue profitability.