Delinquency rates for commercial real estate and multifamily loans fell across nearly every category in the fourth quarter of 2011, according to new data from the Mortgage Bankers Association (MBA).
According to the MBA, the 60-plus day delinquency rate for loans held in life company portfolios fell by 0.02 percentage points to 0.17%, while the 60-plus day delinquency rate for multifamily loans held or insured by Freddie Mac fell by 0.11 percentage points to 0.22%. The 90-plus day delinquency rate for loans held by Federal Deposit Insurance Corp.-insured banks and thrifts fell by 0.20 percentage points to 3.55%, and the 30-plus day delinquency rate for loans held in commercial mortgage-backed securities fell by 0.36 percentage points to 8.56%.
Only the 60-plus day delinquency rate for multifamily loans held or insured by Fannie Mae increased during the fourth quarter, by 0.02 percentage points to 0.59%.
‘Commercial and multifamily mortgage delinquency rates continue to stabilize and improve in parallel with the broader economy,’ says Jamie Woodwell, the MBA's vice president of commercial real estate research. ‘And counter to what many have exclaimed, commercial mortgages have proved to be neither 'the next shoe to drop' nor a 'ticking time bomb' for the banking sector or the economy as a whole."
The MBA's data is now online.
