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Residential property loans continue to rise - cause for concern?

The immense demand for residential properties, which has been driven not least by the ECB’s policy of low interest rates, is producing a persistently sharp rise in prices given the shortage of supply, and is fueling discussion about the possibility of undesirable developments. Looking to the future, this gives rise to whether the current situation can be compared with the 1990s, when the housing market boom led to a very long phase of downward market trend and stagnation. Is a similar scenario on the cards?

vdp Spotlight Real Estate September 2016

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