A property bubble like the one that devastated the United States and Europe in the 2008 financial crash, may now be threatening Colombia, warned the country’s Central Bank Tuesday.
The readily available credit along with the house price explosion in Europe and the U.S. led to a hunger for property and a building boom, resulting in an eventual surplus of homes.
If what happened in the U.S. is any indicator, as buyers grow more confident and take out bigger loans,
- Email from Jair Ojeda-Joya
- Testing for Bubbles in Housing Markets: New Results using New Methods (Central Bank)
- Subprime mortgage crisis (University of North Carolina)