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Commercial bank failures during the Great Recession: The real (estate) story

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  • Antoniades, Adonis

Abstract

In the run-up to the Great Recession, commercial banks used their balance sheets to fund an expansion in real estate to commercial borrowers. The subsequent bank failures owed more to pre-crisis exposure to commercial real estate credit than to household mortgages or to liquidity risk.

Suggested Citation

  • Antoniades, Adonis, 2026. "Commercial bank failures during the Great Recession: The real (estate) story," Journal of Financial Stability, Elsevier, vol. 82(C).
    • Handle: RePEc:eee:finsta:v:82:y:2026:i:c:s1572308925001214
    DOI: 10.1016/j.jfs.2025.101492
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    JEL classification:

    • G21 - Financial Economics - - Financial Institutions and Services - - - Banks; Other Depository Institutions; Micro Finance Institutions; Mortgages
    • G28 - Financial Economics - - Financial Institutions and Services - - - Government Policy and Regulation
    • R33 - Urban, Rural, Regional, Real Estate, and Transportation Economics - - Real Estate Markets, Spatial Production Analysis, and Firm Location - - - Nonagricultural and Nonresidential Real Estate Markets

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