U.S commercial and multifamily mortgage debt outstanding rose by 1.5 percent, $51.9 billion, in the second quarter of 2019, according to the Mortgage Bankers Association‘s (MBA) latest Commercial/Multifamily Mortgage Debt Outstanding quarterly report.
At the end of the first half of 2019, total commercial and multifamily debt outstanding was at $3.50 trillion. Multifamily mortgage debt alone increased $24.4 billion (1.7 percent) to $1.5 trillion from the first quarter.
“Strong borrowing and lending, coupled with relatively low levels of loan maturities, are helping to boost the amount of commercial and multifamily mortgage debt outstanding,” said Jamie Woodwell, MBA’s Vice President of Commercial Real Estate Research.
“All four major capital sources increased their holdings during the quarter. With strong demand expected to continue, debt levels are likely to climb even more and end the year at a new high,” he added.
Total Commercial and Multifamily Mortgage Debt Outstanding, by Investor Group, second quarter 2019;
- Banks and thrifts (39 percent)-$1.4 trillion,
- Agency,GSE portfolios and MBS (20 percent)- $703 billion,
- Life insurance companies (15 percent)- $539 billion,
- CMBS, CDO and other ABS issues (13 percent)- $471 billion,
- Others (12 percent)- $387 billion.