Delinquency rates for commercial and multifamily property mortgages declined in October as the Covid-19 pandemic stretched into the fall, according to a survey released Monday by the Mortgage Bankers Association.
The survey found:
- 94.6 percent of outstanding loan balances were current, up from 94.3 percent in September.
- 3.4 percent were 90+ days delinquent, down from 3.5 percent a month earlier.
- 0.6 percent were 60-90 days delinquent, which is unchanged from September).
- 0.6 percent were 30-60 days delinquent, down from 0.7 percent.
- 0.7 percent were less than 30 days delinquent, down from 0.9 percent.
“Commercial and multifamily mortgage performance improved in October, but there continues to be evidence of elevated stress, especially among loans backed by retail and lodging properties,” said Jamie Woodwell, MBA’s Vice President of Commercial Real Estate Research. “The share of loans becoming newly delinquent fell again in October, but a larger share of non-current loans shifted to later-stage delinquencies. In essence, fewer loans are becoming delinquent, but those that are delinquent show fewer signs of curing.”