CMBS Delinquencies Continue Post-Recession Drop: Fitch

Delinquencies for commercial mortgage-backed securities declined for the 15th consecutive month in June, according to data released Monday by Fitch Ratings.

CMBS delinquencies fell by 10 basis points to 4.87%, compared with the previous month.

June marks the first time since the recession that delinquencies on major property types have fallen below 6%, the company said in a press release. Past-due rates for industrial properties saw the largest drop, falling by 65 basis points to 5.78% from the previous month.

Multifamily delinquencies dropped by 27 basis points to 5.65%, while retail property delinquencies fell by 16 basis points to 4.82%.

Hotel delinquencies were up slightly month-over-month, increasing by 18 basis points to 4.82%.

The improvements in CMBS delinquency rates could reverse, the ratings agency cautioned, if applications for large servicing transfers and loan modifications are declined in the coming month.

For reprint and licensing requests for this article, click here.
Servicing Data and information management
MORE FROM NATIONAL MORTGAGE NEWS