According to the Mortgage Bankers Association’s (MBA) Quarterly Survey of Commercial/Multifamily Mortgage Bankers Originations, third quarter 2015 commercial and multifamily mortgage loan originations were 12 percent higher than during the same period last year and 3 percent higher than the second quarter of 2015.
“Commercial mortgage borrowing and lending continued to grow during the third quarter,” MBA Vice President of Commercial Real Estate Research Jamie Woodwell said.
Increases in originations for retail and office properties led the overall increase in commercial/multifamily lending volumes when compared with the third quarter of 2014. The increase included a 39 percent increase in the dollar volume of loans for retail properties, a 17 percent increase for office properties, an 11 percent increase for multifamily properties, a 10 percent increase for industrial properties, a 9 percent decrease in hotel property loans, and health care property loans decreased 30 percent year-over-year.
Among investor types, the dollar volume of loans originated for commercial bank portfolio loans increased by 93 percent from last year’s third quarter. There was an 18 percent increase for life insurance company loans, a 3 percent decrease for Government Sponsored Enterprises (Fannie Mae and Freddie Mac) loans, and an 8 percent decrease in dollar volume for Commercial Mortgage Backed Securities (CMBS) loans.
Third quarter 2015 originations for office properties increased 37 percent compared with the previous quarter. There was a 27 percent increase in originations for retail properties, a 5 percent increase for health care properties, a 1 percent decrease for industrial properties, an 8 percent decrease for multifamily properties, and a 29 percent decrease for hotel properties from the previous quarter.
Among investor types, between the second and third quarter of 2015, the dollar volume of loans for CMBS increased 22 percent, loans for life insurance companies increased 13 percent, originations for commercial bank portfolios increased 9 percent, and loans for GSEs decreased by 28 percent.
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