MBA Predicts 6% Increase in 2016 Originations

The Mortgage Bankers Association projects originations of commercial and multifamily mortgages to rise by 6 percent in 2016 to $485 billion.

Mortgage bankers’ originations of multifamily mortgages are forecast at $187 billion in 2016, while total multifamily mortgage originations project to $225 billion.

“Borrowing and lending in commercial and multifamily real estate markets is strong,” said MBA Vice President of Commercial Real Estate Research Jamie Woodwell. “Interest rates that have stayed lower longer than most anticipated, and continued growth in property incomes and values are all pushing mortgage origination levels higher.”

MBA said commercial/multifamily mortgage debt outstanding is expected to end 2016 at $2.8 trillion, 1.8 percent higher than at the end of 2015.

(via MBA)