When will India's housing bubble burst?

A real estate bubble could soon burst in these countries - with worldwide consequences

The low interest rates have triggered a real estate boom in many countries. The prices for houses and apartments have risen sharply there. In some countries, the risk of a real estate bubble is particularly high, shows a study by the business news agency Bloomberg Economics.

The economist Niraj Shah compared the relationship between property prices and rents as well as income and also calculated the inflation-adjusted property prices and the volume of household loans on the gross domestic product.

Also read: 15 traps to watch out for when buying a property

"There is a risk that monetary easing will fuel property bubbles around the world," warns Shah. "While central bankers focus on avoiding a global economic downturn, loose monetary policy could sow the seeds for the next crisis."

In the picture gallery you can see in which countries the risk of a real estate bubble is particularly high.

Continue to image gallery.

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In these countries, a bubble could soon burst on the real estate market - with worldwide consequences

In these countries a bubble could soon burst on the real estate market - with worldwide consequences

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