September 01, 2009

The beginning of the end or just what was expected?

REIT.com reported that commerical mortgage default rates moved up to 2.88% in Q2 2009, up from 2.25% a quarter earlier and up from 1.18% in Q2 2008, as tracked by Real Estate Econometrics (REE).

Everyone has known defaults were coming, but how soon and how big remains a guessing game . REE is projecting defaults to excced 5% in 2010.

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