Commercial loan delinquency on rise: MBA

Miami /
Dec.December 07, 2009 12:29 PM

Delinquency rates on many commercial and multi-family property mortgages continued their upward climb in the third quarter, according to the Mortgage Bankers Association’s Commercial/Multi-family Delinquency Report, released today. The 30-or-more-day delinquency rate on loans in commercial mortgage-backed securities hit 4.06 percent in the third quarter, up .17 percent from the second quarter this year. The delinquency rate on multi-family loans held or insured by Fannie Mae and Freddie Mac also jumped between the second and third quarters. Fannie Mae saw .62 percent of loans 60 or more days delinquent, up .11 percent from the previous quarter, while Freddie Mac saw .11 percent of loans 90 or more days delinquent. Jamie Woodwell, vice president of commercial real estate research for the MBA, said that the data reflects the ongoing challenges that the commercial market is facing. “Commercial and multifamily mortgages continued to feel stress in the face of the weakened economy,” Woodwell said of the third-quarter performance. Still, Woodwell said that some properties have weathered the storm better than others. “The deterioration in commercial and multifamily loan performance is generally in line with what is being seen in other parts of the economy, with loans backed by commercial properties continuing to perform far better than construction and development loans.” TRD


Related Articles

arrow_forward_ios
Frank Simone and Christina Pappas with the Miami skyline (Getty images)
Tighter lending standards foiling condo deals after Surfside collapse
Tighter lending standards foiling condo deals after Surfside collapse
Masoud and Stephanie Shojaee and Ten30 South Beach (Shoma Group)
Shoma completes Ten30 South Beach condo project near Lincoln Road
Shoma completes Ten30 South Beach condo project near Lincoln Road
Elliot Stone of Royal Castle Companies (FIU Foundation, LoopNet)
Royal Castle Companies buys offices at Boca’s Park at Broken Sound
Royal Castle Companies buys offices at Boca’s Park at Broken Sound
Cross County Plaza (Madison Properties)
West Palm shopping center foreclosure suit leads to CMBS drama
West Palm shopping center foreclosure suit leads to CMBS drama
Southland Mall in Cutler Bay (Google Maps)
Lender takes control of struggling Southland Mall in Cutler Bay
Lender takes control of struggling Southland Mall in Cutler Bay
Jeffrey Soffer and Fontainebleau Miami Beach (Getty)
Fontainebleau Miami Beach’s $1B loan exits special servicing
Fontainebleau Miami Beach’s $1B loan exits special servicing
Southland Mall, 20505 South Dixie Highway in Cutler Bay with JLL's Tom Hall and Danny Finkle (Google Maps, JLL)
Southland Mall’s troubled $65M CMBS loan for sale
Southland Mall’s troubled $65M CMBS loan for sale
Westfield Broward mall, CEO Christophe Cuvillier
Westfield Broward mall’s $95M CMBS loan heads to special servicing
Westfield Broward mall’s $95M CMBS loan heads to special servicing
arrow_forward_ios

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

Loading...