Commercial/multifamily mortgage debt outstanding increased 1.5%, or $40.4 billion, to reach $2.68 trillion in the first quarter, compared to the fourth quarter, according to the Mortgage Bankers Association (MBA).
The increase was seen across all four major investor groups, including bank and thrift; commercial mortgage-backed securities, collateralized debt obligation and other asset-backed securities; federal agency and government-sponsored enterprise (GSE) portfolios and mortgage-backed securities (MBS); and life insurance companies.
Multifamily mortgage debt alone rose to $989 billion – an increase of 2.1%.
‘Strong first-quarter mortgage originations boosted the level of commercial and multifamily mortgage debt outstanding,’ says Jamie Woodwell, vice president of commercial real estate research for the MBA. ‘Multifamily mortgages continued to grow even more quickly than the market as a whole, with banks increasing their portfolios by $8 billion and agency and GSE portfolios and MBS increasing their holdings by $10 billion.’
Commercial banks continue to hold the largest share of commercial/multifamily mortgages with $985 billion, or 37% of the total.
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