Q2 commercial mortgage delinquencies declined across most major property types and capital sources, with the MBA pointing to lower non-current loan balances as a sign of market stability.
CMBS loans still posted the highest delinquency rate at 4.82%, though that improved from 5.21% in the prior quarter; office and lodging properties remained the main pressure points.
Other lender categories stayed near 1%: life company delinquencies fell to 1.19% from 1.47%, while Fannie Mae-Freddie Mac rose to 1.11% and FHA increased to 1.06%.
By property type, only health recorded a slight uptick in delinquencies; the survey covered portfolios as of June 30 and captured 59% of the roughly $5 trillion commercial and multifamily mortgage market.