What has been lost in the so called housing recovery is the grim statistics that commercial real estate has fallen 37 percent in value in the last year. What, me worry? I don't have any commercial real estate, but the banks do. This wouldnt be such a big problem aside from the tiny detail that approximately $3 trillion in commercial real estate loans are still outstanding. The default rate on these loans is approaching 20 percent. It will be higher later in the new year. By then we will see a Trillion Dollars in commercial real estate in default. If you are a banker, next year is going to be Hell on Earth.