CMBS Loan Prices Down in July

Aug 27, 2018

The level of commercial and multifamily mortgage debt outstanding hit $3.39 trillion by the end of 2018

Prices of commercial real estate loans underlying commercial mortgage-backed securities (CMBS) were down slightly in July, according to new data from DebtX.

The estimated price of whole loans securing the CMBS sector dropped from 96.5 percent in June to 96.2 percent in July. By the end of last month, DebtX priced $1.22 trillion in commercial real estate loans that collateralize CMBS trusts, adding that the median adjusted loan-to-value remained at 58 percent while the median debt service coverage ratio was unchanged at 1.52. The median estimated loan yields rose to 4.7 percent.

“The modest decline in loan prices in the CMBS universe in July can be primarily attributed to changes in the yield curve rather than credit quality,” said DebtX Managing Director Will Mercer.

About the author

Phil Hall

Link copied

Published

Aug 27, 2018

People On The Move

Ginnie Mae President Alanna McCargo Announces Resignation

McCargo was first woman and first woman of color at the helm of Ginnie Mae.

The U.S. Department of Housing and Urban Development (HUD) today announced that Alanna McCargo, president of the Government National Mortgage Association (Ginnie Mae), will resign, effective May 3, 2024. McCargo has served in the Biden-Harris Administration since January ...

People On The Move

Christensen, Andrus Added At CE Class Leader

Maximum Acceleration hires mortgage exec. as education director, adds banking manager

Brandon Christensen, a longtime mortgage broker and trainer, has been named Director of Education and National Instructor for Maximum Acceleration LLC, a leading NMLS-approved course provider for mortgage pre-license and continuing education. "Having Brandon join our amaz...