Welcome to the latest edition of Investor Intelligence.

This week, we look at the future of bonds and money markets, the improving capital market in Multifamily and the first mention of a “bubble” in apartment investing.

Your feedback is important. If there are any topics you would like us to cover please let us know.

Thank you for being part of the 37th Parallel family.

Kieran J. Donohue
Director, Communication and Education

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Inflation Will Eliminate Your “Safe” Investment Returns. The Federal Reserve has plans to effectively devalue the dollar by 33% over the next 20 years, making the paltry gains in bonds and money markets even less palatable to those planning for retirement.

Multifamily Lenders Losing Less Year over Year. Fears of “The Next Shoe To Drop” in the Multifamily mortgage industry have proven false, as the sector is seeing strong performance and historically low default rates.

A Multifamily Bubble? Typically when housing values drop, vacancies rise as renters sweep in to buy affordable homes. Yet, the opposite is happening in this market, as vacancies and housing prices continue to fall. We attribute this to low confidence in home ownership, decreasing supply and changing attittudes about renting.