PRESS RELEASE
Mortgage Bankers Association’s (MBA) Quarterly Survey of Commercial/Multifamily Mortgage Bankers Originations, reported third quarter 2017 commercial and multifamily mortgage loan originations were 21% higher than during the same period last year and 8% higher than the second quarter of 2017.
“Borrowing and lending associated with commercial and multifamily real estate increased again in the third quarter, even as sales transaction volume slowed,” said Jamie Woodwell, MBA Vice President of Commercial Real Estate Research. “Most property types and capital sources saw stronger lending activity than a year earlier, supported by solid property fundamentals and continued property value appreciation.”
A rise in originations for hotel and health care properties led the overall increase in commercial/multifamily lending volumes when compared to the third quarter of 2016.
3rd Quarter Dollar Volume Stats
■ Loans for hotel properties saw a 116% year-over-year increase
■ Loans saw a 97% increase for health care properties
■ Loans saw a 20% increase for industrial properties
■ Loans saw a 15% increase for multifamily properties
■ Loans saw an 8% increase in office property loans
■ Loans saw an 8% decrease in retail property loans
THIRD QUARTER 2017 ORIGINATIONS UP 8 PERCENT FROM SECOND QUARTER 2017
Third quarter 2017 originations for health care properties increased 120% compared to the second quarter 2017. There was a 12% increase in originations for multifamily properties, a 10 percent increase for retail properties, a 6 percent increase for hotel properties, a 4 percent decrease for office properties, and a 25 percent decrease for industrial properties from the second quarter 2017.