CBRE · Earnings call · 2026Q3T · Full report

Interest Rate Environment

CBRE GROUP, INC. · 2026-10-22 · Importance 20 · Surprise 24

Management said higher and uncertain interest rates are pressuring real-estate-capital-markets businesses, with cap rates rising, contracted deals being retraded, and some expected sales replaced by refinancings. CBRE saw Capital Markets slow during the third quarter, particularly in September, and expects the business to be roughly flat in Q4 and through the first half of 2027. Management expects rate stability in the second half of 2027 to help activity, while noting that outcomes depend on whether that stability occurs.

Key facts

• CBRE expects interest-rate stability in the back half of 2027; volatility and uncertainty are delaying or pausing deals, including deals delayed to 2027.
• CBRE said interest-rate uncertainty could settle out in the back half of 2027 and be helpful to its business.