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Banks are in crisis, offices are empty: parallels to the global financial crisis?

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Banks are in crisis, offices are empty: parallels to the global financial crisis?

But while before the financial crisis citizens who had no jobs received loans, banks have now financed office buildings that no one needs anymore due to the home office trend.
Yes, there are buildings like that. But many offices will still be needed. In addition, both the large US banks and German financial institutions now have higher equity reserves than before and during the financial crisis. You can therefore absorb losses better. In addition, there were further exaggerations before the financial crisis. It wasn’t just customers who received loans that they couldn’t service. The banks also put these loans together into packages and sold them on, for example to financial institutions in Germany – these were precisely the financial products that were based on the loans and which I have already mentioned. The result of these loan packages was that no one anymore had an overview of which bank was involved in the US housing market, how exactly and to what extent. This uncertainty caused great panic at the time and acted like an accelerant. Now the transparency is greater.

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