Industrial Properties Drive CMBS Delinquency Higher
Thanks to deteriorating performance on industrial property loans, early stage delinquency on all securitized loans backed by commercial real estate rose in May. Delinquency on loans for all other property types was lower.
4-Year Low for CRE Delinquency on Freddie, Bank Loans
Quarterly delinquency fell to a more than two-year low on loans included in commercial real estate securitizations, while it was a four-year low for delinquency on Freddie Mac multifamily loans and bank-owned commercial mortgages. But CRE performance was worse on Fannie Mae multifamily loans and life insurer's CRE assets.
Solid Month at Fannie Mae
New business picked up at the Federal National Mortgage Association, while the secondary lender's book of business increased and serious home loan delinquency dropped to the lowest level in more than four years.
Jumbo Transactions Dominate 2013 RMBS Issuances
Around $3 billion in residential mortgage-backed securities issued this year mostly consisted of jumbo mortgages to prime borrowers, and a Chicago-based bank originated a significant share of the underlying loans. Other RMBS activity includes the planned sale of securities backed by Alternative-A mortgages.
Delinquency Falls to 4-Year Low at Freddie
It has been almost four years since residential loan performance has been this good at the Federal Home Loan Mortgage Corp., while it's been more than four years since the rate of late payments on apartment loans has been this low. New business, however, slowed.
Hotel Delinquency Leads CMBS Rate Down
The rate of delinquency on securitized commercial mortgages tumbled during April. While most categories of commercial real estate experienced a decline in delinquency, it was the hotel property category that saw the biggest drop.
New Kids on the Block
Since early March, at least 20 mortgage companies saw executive-level management changes. Over a dozen of the changes involved senior-level executives -- including two high-level company departures. The majority of appointments involved new hires as just one person was promoted.
Acquisition Shakes Up CRE Servicer Standings
Two deals announced this week will create a new No. 3 servicer of commercial real estate loans and substantially reduce the CRE servicing portfolio of a mega-bank.
Record Earnings, Improved Performance at Fannie
Thirty-day delinquency at Fannie Mae continued lower for the ninth consecutive quarter as earnings soared to the highest level on record. The company made progress on some of its litigation, and now that Bank of America Corp. has settled it repurchases requests -- outstanding requests have plummeted. The secondary lender reported who its biggest servicers and mortgage insurers are.