During the month, the estimated price of whole loans securing the CMBS universe decreased to 96.7% at the end of January from 97.6% at the end of December. Prices were 96.5% in January 2018.
“The decrease in loan prices in the CMBS (commercial mortgage-backed securities) universe in January was primarily the result of an increase in base market spreads,” said DebtX Managing Director Will Mercer.
As of the end of January, DebtX priced $1.3 trillion in commercial real estate loans that collateralize U.S. CMBS trusts. From last month, the median adjusted loan-to-value remained at 57%, and the median debt service coverage ratio was at 1.51. The median estimated loan yields were unchanged at 4.5%.
DebtX provides third-party loan valuation services for both public and private clients, as well as analytics and data based on nearly two decades of secondary market loan sales at DebtX.