Commercial delinquencies mixed
According to the Mortgage Bankers Association’s (MBA) Commercial/Multifamily Delinquency Report, delinquency rates were mixed in the second quarter for commercial/multifamily mortgage investor groups. The delinquency rate for loans held in commercial mortgage-backed securities (CMBS) is the highest since the series began in 1997. Delinquency rates for other groups remain below levels seen in the early 1990’s, some by large margins. Between the first quarter and second quarter 2010, the 30+ day delinquency rate on loans held in CMBS rose 1.39 percentage points to 8.22%. The 60+ day delinquency rate on loans held in life company portfolios decreased 0.02 percentage points to 0.29%.
The 60+ day delinquency rate on multifamily loans held or insured by Fannie Mae rose 0.01%age points to 0.80%. The 60+ day delinquency rate on multifamily loans held or insured by Freddie Mac increased 0.03 percentage points to 0.28%. The 90+ day delinquency rate on loans held by FDIC-insured banks and thrifts remained unchanged at 4.26%. Based on the unpaid principal balance of loans (UPB), delinquency rates for each group at the end of the second quarter were as follows:
• CMBS: 8.22% (30+ days delinquent or in REO);
• Life company portfolios: 0.29% (60+days delinquent);
• Fannie Mae: 0.80% (60 or more days delinquent)
• Freddie Mac: 0.28% (60 or more days delinquent);
• Banks and thrifts: 4.26% (90 or more days delinquent or in non-accrual).
