High inflation, epic rise in interest rates, declining valuations, looming regulatory changes and a great divide between buyers and sellers—this cocktail of factors has created an unfavorable environment for multifamily transactions in 2023. And Stephanie Wiggins, managing director & head of production for agency lending at PGIM Real Estate, believes there’s not enough daylight left in the year to make up for the loss in volume that the industry has experienced, despite recent improvements in Treasury yields.

However, this hasn't made her less optimistic about the future. She believes that in 2024 the bid-ask spread between buyers and seller will mitigate as they become more realistic about valuations. She feels that experienced borrowers will change their mindset and adjust their expectations about interest rates.
Tune in for the November episode of Mission Success: Women in Multifamily, the monthly podcast series hosted by Multi-Housing News Senior Editor Laura Calugar!