What’s Driving the 10-Year Treasury Rate Surge
WHY ARE TREASURY RATES CLIMBING?
WHAT IT MEANS FOR CRE LENDING?
Higher 10-Year Treasury Rate Impacting Lending
The 10-year treasury rate climbed about 120 bps in the last 100 days, applying upward pressure to CRE lending rates
Single-family mortgage rates have climbed above 8%, reducing home sales to its lowest level in over a decade
What is Driving Treasury Yield Movements?
The Fed began the process of selling off securities in 2022, reducing the price of securities while raising the yield
Compared to the 10-year average, the U.S. issued triple the amount of debt over the last 6 months
Eyes On Congress To Avoid Credit Downgrade
If the government can avert a shutdown, the U.S. credit rating should remain stable and limit upward pressure on treasury and lending rates
*Through October 11
Sources: Marcus & Millichap Research Services, Federal Reserve
