The largest falls will be seen in the Copenhagen area and for short-term financing. Under normal circumstances, rising income and falling interest rates exert upward pressure on housing prices. But the current situation is not "normal". The housing market has almost frozen with many homes for sale, slow sales and business volumes at a long-time low.
Also, the maturities of the derivatives used were well matched to the maturities of the underlying debt securities. [5] This means that banks were not exposed to foreign currency or foreign interest rate risk for the life of their underlying exposures.