The State of US Real Estate in Sixteen Charts

Thesis Driven dives deep into emerging themes and real estate operating models by featuring a handful of operators executing on each theme. This week’s letter explores the current state of the real estate market from asset prices to occupancy trends and more.

For July 4th we decided to take a step back and identify the ten most important macro movements that are shaping the US real estate market today. We’ll explain each through charts and share a bit about where we expect each go from here—and why it matters to the future of the built world.

While some trends show a post-pandemic normalization—for example, apartment vacancy and supply chain pressure have returned to pre-pandemic levels—others indicate continuing secular trends such as stagnant office utilization and declining occupancy. Understanding which trends are mere pandemic blips versus fundamental, long-term changes is crucial to making the right moves in today’s real estate market.

The trends we’ll identify span asset classes but touch on some of the biggest shifts happening today.