Reply To: Spanish property market 2008: soft landing or train wreck?


Bernard Hornung wrote:
2008 will be the year when banks return to responsible lending, and start to foreclose on non performing loans. The combination of indebtedness both at a personal and corporate level, a tightening of credit, a lack of liquidity and a falling property market with millions of homes which nobody needs or wants,

This is valid for any country in 2008. In USA it started in Fall 2006 but they are always 18 months ahead. They are already in recession, Spain and UK will follow this year, maybe Germany will be the only country spared as they did not base on credit flooding.

It will be nasty, the house price crash will be the least of the worries.