The quarterly performance of real estate loans secured by commercial properties improved for most investor types. Just securitized loans have worsened from a year ago.
As of the first quarter of this year, delinquency of at least 30 days on loans included in commercial mortgage-backed securities was 4.45 percent.
The rate retreated from the final quarter of last year, when it was 4.53 percent. But deterioration has occurred since the first quarter of last year, when the rate was 3.87 percent.
The
Mortgage Bankers Association reported the metrics in its Commercial/Multifamily Mortgage Delinquency Rates for Major Investor Groups | Q1 2017.
“Delinquency rates for commercial and multifamily mortgages remained at or near record lows for most capital sources during the first quarter,” MBA Vice President of Commercial Real Estate Research Jamie Woodwell said in an accompanying statement. “Growth in property incomes and property values, coupled with low interest rates, have facilitated financing. As we near the end of the second quarter, the industry has largely worked through the so-called ‘wave of maturities’.”
However, despite the quarter-over-quarter improvement in CMBS delinquency, Trepp LLC reported that the 30-day rate has
increased 10 basis points from the end of the first quarter to May 31.
MBA said 60-deliquency on CRE loans owned by life insurance companies was cut to 0.02 percent from 0.04 percent as of year-end 2016 and 0.06 percent as of the first quarter 2016.
Sixty-day delinquency on Fannie Mae multifamily loans was 0.05 percent as of March 31, 2017, the same as of three months earlier and off from 0.06 percent one year earlier.
Washington-based Fannie has since reported that its multifamily delinquency has fallen to 0.04 percent as of April 30.
Multifamily delinquency at
rival Freddie Mac finished the first-quarter 2017 at 0.03 percent, also unchanged from Dec. 31, 2016. Freddie’s rate was 0.04 percent as of the same date last year.
Freddie’s 60-day multifamily rate has since been reported at 0.03 percent as of April 30, 2017.
Ninety-day delinquency on commercial mortgages owned by banks and thrifts was trimmed to 0.56 percent from 0.60 percent in the fourth-quarter 2016 and cut from 0.73 percent in the first-quarter 2016.
