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MultiFamily Financing Declines

 

Here is an interesting article from National Real Estate Investor magazine:

Commercial/Multifamily Mortgage Originations Plunge 80% from Fourth Quarter 2007

By Denise Kalette

A new report from the Mortgage Bankers Association (MBA) shows a dramatic drop in commercial and multifamily mortgage loan originations in the fourth quarter of 2008. Originations fell 80% from the same period of 2007, a decline noted across all property types and investor groups.
"Commercial and multifamily mortgage lending slowed to a trickle in the fourth quarter," said Jamie Woodwell, vice president of commercial real estate research at MBA, in a statement. "Originations for all of 2008 were down approximately 60% from 2007 levels. Between the worsening economy and the continued credit crunch, lenders are extremely cautious about lending and borrowers are likely to hold onto the assets and the loans they already have."