San Diego, CA – February 4, 2013 – (RealEstateRama) — In its second annual forecast of the commercial/multifamily real estate finance markets, the Mortgage Bankers Association (MBA) projects originations of commercial and multifamily mortgages will grow to $254 billion in 2013, an increase of 11 percent from 2012 volumes, and continue to rise to $289 billion in 2015. Originations of multifamily mortgages are forecast at $100 billion in 2013.
Commercial/multifamily mortgage debt outstanding is expected to grow in 2013, ending the year above $2.4 trillion, more than two percent higher than at the end of 2012. By the end of 2015, mortgage debt outstanding is forecast to exceed $2.5 trillion. MBA previewed its forecast of the commercial/multifamily real estate finance markets today at its Commercial Real Estate/Multifamily Housing Convention in San Diego.
“2012 was a strong year for the commercial and multifamily mortgage markets, and 2013 is shaping up to continue the growth,” said Jamie Woodwell, MBA’s Vice President of Commercial Real Estate Research. “Despite a 21 percent decline in the volume of commercial and multifamily mortgages maturing this year, we expect origination volumes and the amount of mortgage debt outstanding will both increase. Our forecast anticipates Fannie Mae, Freddie Mac and FHA, as well as life insurance companies, will all continue to have strong appetites for making loans, and – coupled with growth in originations for CMBS – the total market will continue to expand.”
The detailed forecast is being released to MBA’s commercial/multifamily regular members at www.mortgagebankers.org\research and projects commercial and multifamily mortgage origination volumes, the level of mortgage debt outstanding and loan maturity volumes.
“MBA’s commercial real estate finance forecast is an outgrowth of our surveys and research on the commercial and multifamily real estate finance markets and complements our macro-economic and single-family finance forecasts,” said Jay Brinkmann, MBA’s Chief Economist and Senior Vice President of Research and Education. “In only its second year, it’s already becoming a key tool MBA’s members rely on as part of their business planning.”
MBA’s commercial/multifamily regular members and premium and select associate members can download a copy of MBA’s Commercial/Multifamily Real Estate Finance Forecast at www.mortgagebankers.org/research
The Mortgage Bankers Association (MBA) is the national association representing the real estate finance industry, an industry that employs more than 280,000 people in virtually every community in the country. Headquartered in Washington, D.C., the association works to ensure the continued strength of the nation’s residential and commercial real estate markets; to expand homeownership and extend access to affordable housing to all Americans. MBA promotes fair and ethical lending practices and fosters professional excellence among real estate finance employees through a wide range of educational programs and a variety of publications. Its membership of over 2,200 companies includes all elements of real estate finance: mortgage companies, mortgage brokers, commercial banks, thrifts, Wall Street conduits, life insurance companies and others in the mortgage lending field. For additional information, visit MBA’s Web site: www.mortgagebankers.org.
Matthew Robinson (202) 557-2727