The prevalence of high CRE concentrations to capital now exceeds levels of the late-1980s

Period Percent of FDIC-insured institutions with commercial real estate loans to equity capital greater than:
700% 600% 500% 400% 300%
12/31/1987 3.7% 4.8% 6.3% 8.7% 13.7%
12/31/1988 3.4% 4.2% 5.8% 8.5% 13.8%
12/31/1989 3.1% 3.9% 5.6% 8.2% 13.7%
12/31/1990 2.6% 3.5% 4.9% 7.5% 13.0%
12/31/1991 1.9% 2.6% 3.9% 6.2% 11.4%
12/31/1992 1.10% 1.80% 2.90% 4.90% 9.7%
12/31/1993 0.80% 1.30% 2.20% 4.20% 9.0%
12/31/1994 0.70% 1.20% 2.30% 4.50% 10.5%
12/31/1995 0.50% 0.90% 1.80% 3.80% 9.3%
12/31/1996 0.61% 1.10% 2.00% 4.70% 10.8%
12/31/1997 0.47% 0.95% 1.96% 4.48% 10.9%
12/31/1998 0.51% 1.01% 2.22% 5.21% 11.7%
12/31/1999 0.86% 1.64% 3.69% 8.04% 16.1%
12/31/2000 0.84% 1.78% 4.21% 8.65% 20.5%
12/31/2001 1.00% 2.28% 5.35% 10.81% 20.5%
12/31/2002 1.07% 2.62% 6.40% 12.79% 22.2%
12/31/2003 1.41% 3.51% 7.61% 14.80% 25.2%
12/31/2004 1.47% 4.23% 8.87% 17.04% 28.3%
12/31/2005 1.80% 4.80% 10.20% 18.20% 29.4%

Source: FDIC. Includes FSLIC-insured institutions prior to 1989. All data reflect year-end totals except 2005, which represents mid-year totals. CRE loans include: loans secured by non-farm residential properties, by multifamily properties, and construction loans.