- January 1, 2014: Vol. 26, Number 1

To read this full article you need to be subscribed to Institutional Real Estate Americas

Taking the high road: Do higher-yielding property markets pay?

by Martha Peyton and Edward Pierzak


To date, the U.S. real estate price recovery has been uneven; the top six major markets have outperformed, and non-major markets have underperformed. As a result, some investors are concerned that major market property pricing has become too expensive. This sentiment is prompting an exploration of less-appreciated markets. So, is it time to take the high road and pursue higher-yielding markets?

While this yield-chasing behavior is a simple, straightforward and understandable reaction, it does not produce an investment strategy that guarantees superior total returns. After all, high yields and high total returns are not the same thing.


Moving on?

Over the 12 months ending in June 2013, property investors widened their activities beyond the top six metro area markets that dominated investments earlier in the recovery. In some of these later-blooming markets, the attraction is economic recovery that lagged the top six ma

Glossary, videos, podcasts, research in the Resource Center

Forgot your username or password?

Close your account?

Your account will be closed and all data will be permanently deleted and cannot be recovered. Are you sure?

We respect your privacy! Please give consent for processing data as described in our Privacy Policy