Skip to main content

MBA: Lower Commercial and Multifamily Originations Forecasts

Phil Hall
Jun 22, 2017
The so-called “mandatory inclusion” guideline used by many cities to require a specific amount of affordable units be reserved in new residential developments has hit a major roadblock in Tennessee

The Mortgage Bankers Association (MBA) is forecasting that the level of commercial and multifamily mortgage originations will end 2017 with a whimper instead of a bang.
 
In a new analysis, the trade group predicted that this sector will end the year at $478 billion, a three percent below last year’s volumes. The MBA added that mortgage banker originations of multifamily mortgages only will reach $206 billion by New Year’s Eve, with total multifamily lending at $245 billion.
 
However, commercial/multifamily mortgage debt outstanding should end the year two percent higher than at the end of 2016.
 
"Commercial and multifamily market activity has downshifted at the start of 2017," said MBA Vice President of Commercial Real Estate Research Jamie Woodwell. "Markets continue to move forward, but the rapid increases in property values, transaction volumes and other fundamentals that characterized the post-recession period have given way to more regular changes tied to the economy as well as changes in supply and demand. For many parts of the market, the downshift is a positive development."



 
Published
Jun 22, 2017
Reports: Evergrande Group Makes $83.5M Interest Payment

Faltering Chinese development firm fends off default with payment to international bondholders.

Industry News
Oct 22, 2021
FAR Establishes Borrower Engagement Division

Finance of America Reverse LLC announced its formally established Borrower Engagement Division.

Industry News
Oct 22, 2021
Automating Appraisals No Panacea For Removing Bias

With racism 'grandfathered in' to housing prices in minority neighborhoods, a solution to 'unconscious bias' is difficult to find

Industry News
Oct 21, 2021
Reports: Evergrande Group Arranges Bond Extension

Reuters, REDD say company's billionaire chairman has agreed to provide additional collateral to ensure a construction project tied to a $260M bond is completed.

Industry News
Oct 21, 2021
New American Funding Hires Regional Manager

Mark Tribuna will lead effort to expand company's partnership with affordable nonprofit builders in mid-Pacific region

Industry News
Oct 21, 2021
Rocket Pro Announces Initiatives To Boost Brokers

Company brings Rocket Tech, the Rocket Network and Rocket Marketing to mortgage brokers across the country

Industry News
Oct 19, 2021