Skip to main content

Assessing the contagion risk from US commercial property

During the Global Financial Crisis (GFC), non-US investors’ ownership of US residential mortgage-backed securities (RMBS) was a key way in which they were exposed to problems in the US housing market. Of course, there were problems in housing markets elsewhere that caused “home-grown” problems to lenders in those places. But contagion from the US housing market per se manifested itself directly through the repackaging and sale of US-originated and securitised residential mortgage loans to buyers around the world. Today, the risk of contagion spreading abroad from problems in the US commercial property market is less, for a couple of reasons.

Become a client to read more

This is premium content that requires an active Capital Economics subscription to view.

Already have an account?

You may already have access to this premium content as part of a paid subscription.

Sign in to read the content in full or get details of how you can access it

Register for free

Sign up for a free account to gain:

  • Unlock additional content
  • Register for Capital Economics events
  • Receive email updates and economist-curated newsletters
  • Request a free trial of our services

Get access