Delinquencies on Commercial, Multifamily Loans Fell in 4Q: MBA

Commercial and multifamily mortgage delinquency rates dropped in the fourth quarter, according to the Mortgage Bankers Association.

"Strong property fundamentals and values, coupled with still low interest rates, are likely to continue the positive trend," Jamie Woodwell, the MBA's vice president of commercial real estate, said in a Thursday news release.

Fourth-quarter delinquency rates by investor type, compared to the third quarter, are:

• Banks and thrifts, for loans at least 90 days past due or in nonaccrual status, fell 0.09 percentage points from the third quarter, to 0.73%.

• Fannie Mae, for loans at least 60 days past due, rose 0.02 percentage points to 0.07%.

• Freddie Mac, for loans at least 60 days past due, rose 0.01 percentage points to 0.02%.

• Commercial mortgage-backed securities, for loans at least 30 days past due or in REO status, fell 0.11 percentage points to 4.73%.

• Life insurance companies, for loans at least 60 days delinquent, unchanged from 0.04%.

The delinquency rates are based on the unpaid principal balance of loans, at the end of the fourth quarter.

Andy Peters

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