CMF Newslinks Archive

“The High-Volatility Commercial Real Estate rules are disproportionally affecting acquisition, development [and] construction lending by driving up borrowing costs and reducing credit availability. The rules also appear to be contributing to the slowdown in bank commercial real estate lending.”–A joint trade association letter signed by the Mortgage Bankers Association supporting proposed House legislation that would clarify HVCRE provisions under the Basel III rule.

“Because debt is ‘stickier’ and outstanding loan balances don’t automatically adjust to changes in prices, mortgage debt outstanding remained stable. In the years since, prices bounced back and now exceed their pre-recession levels, while mortgage debt outstanding–which hadn’t declined–rose at a much slower pace. The ratio between the two is now back to where it was before the recession.”–MBA Vice President of Commercial Real Estate Research Jamie Woodwell.

“While pricing in other commercial real estate segments has stagnated due to economic uncertainty and shifts in consumer behavior, so far investors remain very active in [the multifamily] segment.”–Ten-X Chief Economist Peter Muoio.

“Based on staggering exit pricing of some major creative office projects around the country, this type of value-add strategy–on this large scale–is now being considered by many local, regional and national developers, either via direct investment or joint-venture partnerships with equity partners.”–Michael Soto, Research Director with Transwestern.

“For most investor groups, commercial and multifamily mortgage delinquencies are at or near their all-time lows.”–MBA Vice President of Commercial Real Estate Research Jamie Woodwell.

“We’ve never had a president with real estate expertise. I think you’d agree [President Donald Trump] understands what a deal looks like.” –Former FHA Commissioner Brian Montgomery, currently vice-chairman of the Collingwood Group, Washington, D.C.

“Nationally, commercial real estate fundamentals and prices remain strong. That overall strength is expected to continue to support active sales and mortgage markets.”–MBA Vice President of Commercial Real Estate Research Jamie Woodwell.

“The commercial real estate lending market has shown its resilience throughout the course of the year, which made for a stellar end of 2016.”–CBRE Global President of Debt & Structured Finance Brian Stoffers, CMB.

“Demand for rental units is at a historic high due to demographic changes and lifestyle preferences, but increasing new supply and other factors are likely to moderate multifamily market growth in 2017.”–Freddie Mac Multifamily Vice President of Research and Modeling Steve Guggenmos.

“[This paper] is intended to provide thoughtful recommendations on how to reform the GSEs while ensuring a healthy, robust secondary mortgage market emerges for both single-family and multifamily mortgages.”–MBA Chairman Rodrigo Lopez, CMB, on a new MBA paper advocating GSE reform principles.