Washington, DC -- The level of commercial/multifamily
mortgage debt outstanding increased by $24.5 billion, or one percent, in the
second quarter of 2013, as three of the four major investor groups increased
their holdings, according to the Mortgage Bankers Association (MBA).
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| Jamie Woodwell |
The $2.45 trillion in outstanding commercial/multifamily
mortgage debt was $24.5 billion higher than the first quarter 2013 figure.
Multifamily mortgage debt outstanding rose to $875 billion, an increase of
$10.9 billion, or 1.3 percent, from first quarter 2013.
“A strong appetite among investors to put their money to
work in commercial and multifamily mortgages led to an increase in the level of
mortgage debt outstanding,” said Jamie Woodwell, MBA’s Vice President of
Commercial Real Estate Research.
“In the second quarter
alone, banks increased their holdings of commercial and multifamily mortgages
by $16 billion; Fannie Mae, Freddie Mac and FHA increased their multifamily
holdings and guarantees by $5.6 billion and life insurance companies increased
their commercial and multifamily holdings by $4.0 billion.”
The analysis summarizes the holdings of loans or, if the
loans are securitized, the form of the security.
For example, many life
insurance companies invest both in whole loans for which they hold the mortgage
note (and which appear in this data under Life Insurance Companies) and in
commercial mortgage-backed securities (CMBS), collateralized debt obligations
(CDOs) and other asset backed securities (ABS) for which the security issuers
and trustees hold the note (and which appear here under CMBS, CDO and other ABS
issues).
Commercial banks continue to hold the largest share of
commercial/multifamily mortgages, $855 billion, or 35 percent of the total.
CMBS, CDO and other ABS issues are the second largest
holders of commercial/multifamily mortgages, holding $557 billion, or 23
percent of the total. Agency/GSE portfolios and MBS hold $388 billion, or 16
percent of the total, and life insurance companies hold $326 billion, or 13
percent of the total.
Many life insurance companies, banks and the GSEs
purchase and hold CMBS, CDO and other ABS issues. These loans appear in the “CMBS, CDO and other ABS” category.
For a complete
copy of the company’s news release, please contact:
Matt Robinson, (202) 557-2727
Mortgage Bankers Association
1919 M Street, NW, 5th Floor
Washington, DC 20036
(800) 793-6222
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