Interest Rates and Cap Rates: Navigating Today’s Commercial Real Estate Financing
When interest rates doubled, they exposed who truly understands real estate finance. A 1% cap rate increase doesn't mean 1% value loss—it means 17%. In today's 7-8% rate environment, traditional financing often fails. Success requires creative solutions: seller financing, assumable debt, preferred equity, and value-add strategies that force appreciation despite market headwinds.

