What is supply overshoot?
The tendency of long construction lags to deliver space started during a price spike after demand has cooled, pushing the stock past equilibrium and driving rents below the smooth-adjustment path, the engine of the real-estate cycle.
Where you will use it: this term comes up in the Real Estate Finance course, and the full course glossary collects every term in one place.
Related terms
From the free Real Estate Finance course by Devon Coombs, CPA, MBA.