Fitch: CMBS Delinquencies Are Down

Delinquencies on commercial mortgage-backed securities were down to 0.59% in July, from 0.65% a month earlier, Fitch Ratings, New York, reported.The credit rating agency said that half of the six-basis-point delinquency rate decline stems from the addition of seven new deals totaling $15.2 billion to Fitch's deal universe. The rest of the decline is due to loans becoming less than 60 days delinquent, being paid off, defeased, or liquidated and therefore dropping out of the delinquent universe. And Fitch's "seasoned delinquency index," which includes transactions with at least a year of seasoning, dropped five basis points in July to 0.77%. The rating agency also reported that multifamily properties in the 2003 to 2005 vintages represent over 75% of delinquent loans by balance in those vintages, and almost 50% of the 2002 vintage's delinquencies. This is "significantly higher" than its overall delinquency share for all vintages (30%).