CMBS Delinquency Plummets

On loans that are included in commercial mortgage-backed securities, the rate of 30-day delinquency closed out the first quarter at 3.93 percent.

That was the lowest delinquency rate for CMBS loans since the
second-quarter 2009, when the 30-day rate was previously reported at 3.89 percent.

CMBS delinquency was
4.73 percent as of the final quarter of last year and 5.17 percent as of the first quarter of last year.

The performance statistics were included in the
Commercial/Multifamily Mortgage Delinquency Rates for Major Investor Groups | Q1 2016 from the Mortgage Bankers Association.

“A record decline in the volume of CMBS loans in foreclosure and REO brought a record decline in the delinquency rate for loans held in CMBS,” MBA Vice President of Commercial Real Estate Research Jamie Woodwell stated in an accompanying announcement.

But data from Trepp LLC indicate that
the 30-day CMBS delinquency rate has increased 13 basis points from the end of March through the end of May.

At 0.73 percent as of the first quarter of this year in MBA’s report, 90-day CRE loans delinquency at banks and thrifts was no different than as of the fourth-quarter 2015.

The rate has improved substantially, however, over the first-quarter 2015, when bank-owned commercial mortgages had a delinquency rate of 1.03 percent.

Life insurance companies’ CRE loans had a 60-day delinquency rate of 0.06 percent as of March 31, 2016, up 2 BPS from year-end 2015 and unchanged from the same point in 2015.

At Fannie Mae, multifamily delinquency of at least 60 days was 0.06 percent as of the first-quarter 2016, down a basis point from three months earlier and 3 BPS lower than a year earlier.

Washington-based Fannie recently reported that its multifamily delinquency rate slipped to 0.05 percent as of April 30, 2016.

MBA reported that Freddie Mac’s 60-day multifamily rate was 0.04 percent as of the most recent date, worsening from 0.02 percent as of Dec. 31, 2015, and 0.03 percent as of March 31, 2015.