3/14/2016 | By Calvin Schnure | REIT.com
Commercial mortgages are to the real estate market like rainfall is to a farmer. Too little rain and the crops dry up, but too much and floods can destroy the fields. In commercial real estate, too little credit and business is stifled, but too much debt can lead to speculation, overbuilding and defaults.
Recently there have been worries that the market might be getting flooded with credit. On the other hand, there have also been concerns about a drought in the CMBS market. What’s going on with this weather?
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