New indices offer insights into real estate sentiment
Global CRE sentiment has deteriorated significantly this year.
Oxford Economics and Penta Group have developed a new, proprietary collection of commercial real estate sentiment indicators. These indices provide a high frequency indicator and real-time insights into global real estate investment sentiment by analysing over 370,000 global data sources using advanced natural language processing (NLP) models trained on over 14 years of data.
These indicators allow granular tracking of sentiment for all city and sector combinations, with aggregation and comparison capabilities. The sentiment scores offer alternative, forward-looking signals compared to traditional backward-looking metrics.
Currently, our new suite of sentiment indices show global CRE sentiment has deteriorated significantly this year in the aftermath of the sharp shift in US policy and higher for longer interest rates. They also suggest sentiment is converging across locations and sectors, after periods of significant divergence in the past few years.
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