And commercial loans look nothing like what you would use to buy a home with.
Most of them are 5 year (there are others), interest only and a massive balloon payment at the end. They are written based on the income of the property & its value. We're seeing these markets unwind, and it isn't going to be pretty.
Commercial property across the board (not just offices) has been in a strange place for a long time, and it isn't getting better.
Comments
And commercial loans look nothing like what you would use to buy a home with.
Most of them are 5 year (there are others), interest only and a massive balloon payment at the end. They are written based on the income of the property & its value. We're seeing these markets unwind, and it isn't going to be pretty.
Commercial property across the board (not just offices) has been in a strange place for a long time, and it isn't getting better.