NEWS HEADLINES
Commercial/Multifamily Originations Lowest Since 2004
By Dana Enfinger
Commercial and multifamily mortgage bankers’ loan originations fell on a year-over-year basis in the first quarter of 2008, according to the Mortgage Bankers Association’s (MBA) Quarterly Survey of Commercial/Multifamily Mortgage Bankers Originations released June 3. First quarter originations were 53 percent lower than during the same period last year. The year-over-year decrease was seen across all property types and most investor groups.
“Three trends jump out from this quarter’s figures: the impact of the credit crunch, a return from the extraordinary record origination volumes of
2005, 2006, and 2007, and strong variation between different investor groups,” said Jamie Woodwell, MBA’s senior director of commercial/multifamily research. “First quarter originations for the commercial mortgage-backed securities (CMBS) market were at their lowest since the survey began in 2001, originations for life companies and for banks and thrifts fell to levels last seen in 2004, and originations for the government-sponsored enterprises Fannie Mae and Freddie Mac hit record highs for a first-quarter.”
Decreases in total commercial/multifamily mortgage originations were led by a drop in CMBS conduit loans. These numbers show the impact of the recent credit crunch and other market disruptions.
|
