2358 GMT - Investors in Stockland and Mirvac appear to be underestimating the impact of higher-for-longer interest rates on residential volumes, pricing, and margins, says Macquarie. Industry feedback suggests 2-3 increases in mortgage rates of 25 basis points each would dent residential sales some 6-9 months later, it says. Macquarie highlights Stockland's suggestion that every movement of 50 basis points in rates drives a 10% change in residential volumes and a 2% shift in price. "As a result, we are 3% and 4% below Visible Alpha consensus earnings in FY 2027 for Mirvac and Stockland, respectively," Macquarie says. (david.winning@wsj.com; @dwinningWSJ)

(END) Dow Jones Newswires

April 27, 2026 19:58 ET (23:58 GMT)

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