It seems almost certain that over the coming quarters lenders will become less willing to extend maturing loans and will also increase the pressure on borrowers to sell property and repay non-performing loans. But rather than forcing a wave of fire-sales, a selective approach is likely to be taken, with lenders cherry-picking loans where the underlying property can be sold at a price that covers the debt. In other words, delay and pray will be watered down but not abandoned.
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