Falling interest rates in Canada make a compelling bullish case for real estate investments in August 2024. Mortgage rates will decline to make leveraged real estate deals more affordable. Canadian real estate investment trusts (REITs) could do better in a lower interest rate environment, and I’m bullish on two uniquely positioned high-quality TSX REITs to buy this month.
Why invest in TSX real estate sector stocks in August?
Significant rate cuts could be on the horizon, and they may re-ignite investor interest in highly leveraged TSX real estate stocks as borrowing costs decline.
Canada’s leading lenders forecast a significant decline in interest rates between the third quarter of 2024 and the fourth quarter of 2025. In an interest rate forecast report compiled by the Colliers International Group in July, major lenders forecast interest rates to decline to ranges by as much as 200 basis points to a range of 3.5% to 2.75% by…
