A crisis is looming: Small US banks hold over 70% of $2T in CRE loans, exceeding ’06 guidance. With $1.5T CRE refinancing ahead, vacancies high, and prices falling, excessive exposure risks instability.
“JUST IN: Nearly 700 US banks now exceed the 2006 Commercial Real Estate (CRE) loan concentration guidance. What is the CRE loan concentration guidance? It’s guidance by the FDIC for the amount of exposure that small banks should have to …