2010 is set to be a tricky year. According to HSBC nearly 85% 0f all commercial mortgages are in default due to breaches in loan to value ratio or the rental coverage required. The majority of banks have not repossessed as this would trigger more repossessions and would certainly result in further losses on their loan books. Instead they have adopted the strategy to roll over the loans for borrowers that still keep up with repayments and hope for the commercial capital values to increase.