Leading vs Lagging Indicators In Multifamily Real Estate

Leading and lagging indicators are important metrics to assess when considering investment opportunities, particularly in the realm of real estate.

As leading indicators precede changes in the market, they can be used to predict future trends. In contrast, lagging indicators provide a more hindsight-oriented view of what has already occurred in the market.

While both leading and lagging indicators have value, real estate investors may find that leading indicators are more useful in making decisions about where to invest.

This is because leading indicators can be used to identify potential areas of opportunity before they become crowded with other investors.