Commercial mortgage delinquencies increased in the third quarter, according to the Mortgage Bankers Association’s (MBA) latest Commercial Delinquency Report.
Banks and thrifts (90 or more days delinquent or in non-accrual) were at a rate of 1.24%, an increase of 0.09 percentage points compared with the second quarter.
Life company portfolios (60 or more days delinquent) were at 0.46%, an increase of 0.03 percentage points compared with the previous quarter.
Fannie Mae (60 or more days delinquent) were at a rate of 0.56%, an increase of 0.12 percentage points from the second quarter.
Freddie Mac (60 or more days delinquent) were at 0.39%, an increase of 0.01 percentage points from the prior quarter.
And CMBS (30 or more days delinquent or in REO) were at 5.15%, an increase of 0.33 percentage points from the second quarter.
“The share of the balance of delinquent commercial mortgages increased for every major capital source during the third quarter of 2024,” says Jamie Woodwell, head of commercial real estate research for the MBA, in a statement. “The increases varied by capital source and were driven by the particularities of each individual loan and property. Stresses differ by property type and subtype, geographic market and submarket, loan type and vintage, borrower type and more.”
The report covers more than 80% of commercial mortgage debt outstanding and incorporates the measures used by each individual investor group to track the performance of their loans.
Photo: Étienne Beauregard-Riverin
