Having the experience with US housing, what do you think about UK, Spain and other markets? These countries have much in common with US half a year ago: 1. house prices dramatically increasing, recent data point to slow down or even decline in prices 2. risk of high inflation, interest rates high 3. economy slows down 4. lending standards were poor in all the countries, driven by huge demand from securitisation market So are we gonna see defaulting mortgages in Europe? The only major difference I see are the lending standards. UK prime mortgages posses still safe guarantee, but the non-conforming part of the mortgage market is very close to the poor lending standards in US. Spain mortgages are usually pretty fine guaranteed, with sufficient requirements. Despite so many similarities, I suppose that Europe has quite good chance to avoid big jumps in delinquencies.