Commercial property-the next domino to drop

Calcutta News.Net
Monday 5th January, 2009

2009 is expected to be a bad year for US commercial real estate.

Stock analysts have already warned that commercial real estate loans will cause sleepless nights for bankers and other lenders.

While the year 2008 was a bad year for the residential real estate, the economic slowdown will this year result in more office space vacancies and less rental income, making it difficult for business owners to refinance their commercial mortgages.

The tight credit market will also affect property owners who may have to default if they are not be able to keep up-to-date on their payments.

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