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Thread: Commercial Real Estate Lurks as Next Potential Mortgage Crisis

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  1. #1

    Default Commercial Real Estate Lurks as Next Potential Mortgage Crisis

    And so it starts all over again now with Commercial real estate about to explode
    Federal Reserve and Treasury officials are scrambling to prevent the commercial-real-estate sector from delivering a roundhouse punch to the U.S. economy just as it struggles to get up off the mat.
    Their efforts could be undermined by a surge in foreclosures of commercial property carrying mortgages that were packaged and sold by Wall Street as bonds. Similar mortgage-backed securities created out of home loans played a big role in undoing that sector and triggering the global economic recession. Now the $700 billion of commercial-mortgage-backed securities outstanding are being tested for the first time by a massive downturn, and the outcome ...
    The wall street journal
    So where does it go from here????
    If anyone can find some other sources that would be great
    Know where you're going in life . . . you may already be there!

  2. #2
    Denny Crane!'s Avatar Comes Rei Militaris
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    Default Re: Commercial Real Estate Lurks as Next Potential Mortgage Crisis

    well it will or it won't but certainly markets have to correct themselves and I'd rather it happened than be swept under the carpet. The only thing here is that business' generally don't have to rely on appreciation so much as it is a long term investment.

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