Quelle Surprise! Regulators Starting to Worry Re Bank Commercial Real Estate Exposures
The indifference and ignorance present during the last RE boom is apparently still showing among US regulators. Regulators are only now preparing for the upcoming Commercial RE storm. I always thought subprime problems were contained. Bernanke said it was so.
Quote:
|
Commercial property prices are now 26.9 per cent lower than one year ago and 33.9 per cent below the level seen two years ago, according to an index compiled by Moody’s Investor Service. Values on commercial property prices are now 35.5 per cent below the peak seen in October 2007.
|