Commercial, multifamily mortgage delinquencies tumble in Q4

Experts attribute drop in delinquent mortgages to rising home values

New York /
Mar.March 05, 2014 03:45 PM

Rising home prices and values are boosting the performance of commercial and multifamily mortgage loans and lowering delinquency rates, according to industry researchers.

The number of loans with delinquent payments dropped in the fourth quarter of 2013, and dropped 7.48 percentage points from a series high of 7.53 percent in 1992.

The delinquency rate for loans held in CMBS dropped .66 percent to 6.97 percent in the fourth quarter of 2013, while the 90-day delinquency rate for loans held by FDIC-insured banks and thrifts dropped .25 percent to 1.70 percent, according to the Mortgage Bankers Association’s fourth-quarter commercial and multifamily delinquency report.

“Commercial and multifamily mortgages performed relatively well during the downturn, and for most investor groups delinquency rates are now back in the lower end of their historical range,” Jamie Woodwell, MBA’s vice president of commercial real estate research, said the report.

For commercial and multifamily loans held in life insurance company portfolios, the delinquency rate decreased .01 percent to .05 percent. The rate for multifamily loans held or insured by Freddie Mac increased .04 points to .09 percent, while those held by Fannie Mae, decreased .08 percent to .10 percent. [GlobeSt] Angela Hunt


Related Articles

arrow_forward_ios
Clockwise from top left: 162 West 13th Street, 325 Avenue Y in Brooklyn, 1281 Viele Avenue in the Bronx (Credit: Google Maps)
Here’s what the $10M-$30M NYC investment sales market looked like last week
Here’s what the $10M-$30M NYC investment sales market looked like last week
Real Capital Analytics data showed that New York’s multifamily market had a very slow July. (Credit: iStock)
New NYC rent law “beginning to shut down investment”
New NYC rent law “beginning to shut down investment”
Numbers were down across the board (Credit: iStock)
New York’s multifamily market had its slowest first half of the year since 2011
New York’s multifamily market had its slowest first half of the year since 2011
Steve Witkoff and Ian Schrager in front of the iconic PUBLIC hotel escalators. (PUBLIC, Getty)
EB-5 fund alleges Schrager, Witkoff siphoned money from Public Hotel
EB-5 fund alleges Schrager, Witkoff siphoned money from Public Hotel
Best Buy has closed about 20 of its big-box stores in each of the past two years (iStock)
Best Buy lays off 5,000 staffers, increases store closures
Best Buy lays off 5,000 staffers, increases store closures
The Promenade on the Peninsula in Rolling Hills Estates, California (Google Maps, iStock)
Landlords take on short-term debt to spruce up struggling assets
Landlords take on short-term debt to spruce up struggling assets
Ryan Serhant and Gary Barnett on Development Slowdown in Pandemic
Coffee Talk: Extell’s Gary Barnett and Ryan Serhant
Coffee Talk: Extell’s Gary Barnett and Ryan Serhant
Cushman & Wakefield CEO Brett White
Cushman reports 10% drop in revenue in 2020
Cushman reports 10% drop in revenue in 2020
arrow_forward_ios

The Deal's newsletters give you the latest scoops, fresh headlines, marketing data, and things to know within the industry.

Loading...