Posted on Monday, January 18, 2010
At small banks with less than $1 billion in assets, commercial mortgages comprise an average of 32.5% of that total. This is 6 times higher than banks with $50 billion or more in assets. As of September, commercial delinquency reached 5.59%, up from 3.51% six months earlier. According to some counts, the commercial mortgage market totaled $3.4 trillion (about $28 billion less than before) as of 3Q 2009.
In addition to commercial banks, FNMA and Freddie hold 5.7% of the commercial mortgage pie. They hold $197.4 billion in loans, up a little bit. Mortgage pools issued by the two hold another $162.2 billion, also up.
The other holder is REITs which ended the 3Q with $31.9 billion, down 11.6% from the prior quarter.
CMBS holds $708.6 billion of mortgages (20.6% of the market) Life insurance companies hold $310 billion. Governments hold %531.1 billion (15.5%) – 49% of all multi family!
48% of commercial loans held by top ten commercial lenders relate to owner occupied properties, meaning they rely on businesses.