Commercial mortgage originations should climb this year

Multifamily mortgage originations may increase throughout the year.

Property management companies involved in the multifamily sector may be more active in the mortgage market this year, as the level of originations should rise significantly in 2013.

There may be as much as $254 billion in total originations this year, which is 11 percent higher than 2012′s figure, a report from the Mortgage Bankers Association projected. This would be boosted by a significant level of multifamily originations, as the figure may total $100 billion.

“2012 was a strong year for the commercial and multifamily mortgage markets, and 2013 is shaping up to continue the growth,” said Jamie Woodwell, vice president of commercial real estate research for MBA. “Despite a 21 percent decline in the volume of commercial and multifamily mortgages maturing this year, we expect origination volumes and the amount of mortgage debt outstanding will both increase.”

Mortgage debt for commercial and multifamily properties may reach a level of $2.4 trillion this year, which would be 2 percent higher than the figure for the full 2012 year, the report added. This could increase to more than $2.5 trillion by the end of 2015.

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