“The COVID-19 pandemic continues to impact new originations of commercial and multifamily mortgages. Compared to last year’s third quarter, commercial and multifamily originations were 47 percent lower, according to the Mortgage Bankers Association’s (MBA) Quarterly Survey of Commercial/Multifamily Mortgage Bankers Originations.” (Commercial Property Executive, 11/20)
What you need to know:
- Every major property type recorded a year-over-year decline, however, originations did increase 12% compared to the second quarter of 2020. According to MBA’s CREF Loan Performance Survey, commercial and multifamily mortgage performance improved in October.
- The third quarter saw a 94% year-over-year decrease in the dollar volume of loans for hotel properties, an 83% decrease for retail properties, a 58% decrease for office properties, a 31% decrease in multifamily properties, and a 23% decrease for industrial property loan originations.