Multifamily

While multifamily late payments were flat, hotel properties continued to improve but office performance deteriorated significantly from the first quarter, the Mortgage Bankers Association said.

The Federal Housing Administration plans to review and possibly adjust the large loan limit, which determines which mortgages need additional underwriting more regularly going forward.

In 2026, Christine Chandler will join a small but growing number of women that will have occupied the organization's top slot.

But when compared past periods of upheaval, those rates remain relatively low, the Mortgage Bankers Association report showed.

The latest forecast calls for $375 billion of lending on properties with five or more units, with total commercial originations of $654 billion.

Economic uncertainty slowed multifamily and commercial activity to the lowest level in 9 years, the Mortgage Bankers Association said.

Economic turbulence affected borrowers during the quarter and will likely impact their ability to refinance maturing loans, the Mortgage Bankers Association said.

The portfolio includes mainly commercial real estate loans, commercial loans and a small pool of single–family residential loans.

Weaker economic conditions, rising interest rates and expected changes in investment returns drove the reduced expectations, the Mortgage Bankers Association said.

The Federal Housing Finance Agency will be looking at the government-sponsored enterprises as a means of doing more to address renter affordability challenges.