Bubble in residential market

property

commercial property immune from rate rises but residential market now looks set to burst

As commercial property is primarily driven by rental income, it remains largely immune to rising interest rates, according to Chartwell Investment. On the other hand, with rates on the rise, many commentators expect the continued increase in residential house prices is a bubble on the verge of bursting. With the commercial property sector set to outperform its residential counterpart going forwards, Chartwell has produced the fourth edition of its property guide, recommending the funds through which investors should gain exposure to the asset class. Ben Willis, business development mana...