Europe’s housing market may collapse
2022.12.08 09:50
Europe’s housing market may collapse
Budrigannews.com – The European Systemic Risk Board, the EU’s financial risk watchdog, stated on Thursday that house prices may be on the verge of falling as the economic environment deteriorates and the commercial real estate sector is also in danger.
In a statement, the ESRB stated, “The real estate cycle in several EU countries may be reaching a turning point.”
More TSX futures decline the market is waiting for data
“The probability of prices declining in the near future was increasing,” according to transaction data and forward-looking household survey responses indicating a decline in intentions to buy or build a house.
A correction in the commercial real estate market, according to the ESRB, could result in investor losses, raise credit risk for bank and non-bank lenders, and lower collateral values.
