How can a decline in real estate prices cause deleveraging and a decline in lending?
Question
Solution 1
Real Estate as Collateral: Real estate is often used as collateral for loans. When real estate prices are high, borrowers can use their property as collateral to borrow more money.
Decline in Real Estate Prices: When real estate prices decline, the value of the collateral (the property) also Knowee AI StudyGPT is a powerful AI-powered study tool designed to help you to solve study prob
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