Mortgage Debt Rises to $2.45 Trillion in Q2 of 2013


Outstanding commercial/multi-family mortgage debt rose by an estimated $24.5 billion indicating a one percent chance in the second quarter of 2013.  The outstanding commercial/multifamily mortgage debt figure of  $2.45 trillion seen in Q2 comes in at $24.5 billion higher than the Q1 2013 figure.  Outstanding multifamily mortgage debt reached $875 billion, a 1.3 percent increase resulting from an additional $10.9 billion from Q1.


A key reason for these increases is major investment houses and banks increased holdings of loans in the aforementioned categories. Banks still hold the largest amount of commercial/multi-family mortgages. Their combined total loan amount is currently at $855 billion. This figure is 35 percent of the current $2.45 trillion total.


Commercial mortgage-backed securities (CMBS), Collateralized Debt Obligations (CDOs), and Asset Backed Securities (ABS) make up 23 percent of the $2.45 total. Banks hold CMBS, CDO, and ABS issues. In Q2, banks saw a massive increase in their commercial/multi-family mortgage debt holdings – a two percent rise coming in at $16.4 billion.