Commercial, Multifamily Delinquencies Up for Second Month Jan 8, 2021 | Reprints | Print
Delinquency rates for American mortgages backed by commercial and multifamily properties increased for the second month in a row in December, according to the Mortgage Bankers Association’s latest monthly report.
The rate rose from 5.7 percent in November to 6 percent in December. The increase was driven by more loans becoming newly delinquent, the association said. Participants in the survey reported on $1.9 trillion of loans in October, representing approximately half of the total $3.8 trillion in commercial and multifamily mortgage debt outstanding.
“The increase in commercial and multifamily mortgage delinquencies in December is a symptom of the economic slowdown stemming from the recent surge in COVID-19 cases,” MBA Vice President of Commercial Real Estate Research Jamie Woodwell said in a statement. “Delinquencies initially jumped in April and May, d