"Banking Industry Pushes for Real Estate Loan Elimination"

Banks are struggling to sell commercial-property loans as concerns about commercial real estate have surged. The rise in borrowing costs this year has made commercial real estate one of the hardest-hit areas of the economy, leading to a slowdown in property sales and a lack of markers to determine asset values. Banks are eager to sell loans to reduce exposure, but the dried-up market and cautious sellers have made it difficult to determine the true value of the loans. Some lenders are opting for seller financing or holding onto the debt for longer, while others are halting origination of new loans. The industry is closely watching loan sales to gain clarity on pricing and potential shifts in the asset class.