Mortgage Burden Looms Over Dutch

"In the boom years, Dutch banks routinely wrote mortgages that exceeded 125% of the value of a home, covering closing costs, taxes, renovations and even new car purchases on the side. Though low unemployment means most Dutch are still able to pay their mortgages, a significant drop in house prices, a rise in interest rates or an increase in unemployment would leave more people unable to pay their debts, with effects that could ripple through the euro zone."