ESRB publishes follow-up report on residential real estate sector vulnerabilities
4 min2/1/2024

The European Systemic Risk Board (ESRB) has published a follow-up report on vulnerabilities in the residential real estate (RRE) sectors of European Economic Area (EEA) countries. The analysis shows that the level of accumulated vulnerabilities remains significant in most EEA countries, with the growth of cyclical risks having decelerated or stopped in most EEA countries. The results of the risk assessments for stock risks and overall risk are the same as in 2021 for all EEA countries. The ESRB continues to exercise its mandate of macroprudential oversight of the financial system in the EU Member States and Iceland, Liechtenstein and Norway, including identifying financial stability vulnerabilities related to real estate. The ESRB will continue to issue warnings if a significant systemic risk to financial stability is identified and, where appropriate, will issue recommendations for remedial action.