Buoyed by positive headwinds in the market, multifamily loans will be well-positioned for refinance and sale transactions this year. Predictions of either distress or disruption to the sector have failed to materialize this year, despite eviction bans and foreclosure moratoriums initiated early in the COVID-19 pandemic⁠—and experts from Trepp say they don't foresee challenges for those multifamily loans over the next few years. 

"Multifamily investment has historically been the path of least resistance and even despite the pandemic, finances remain above the underwritten values," Trepp's Scott Barrie writes in a recent analysis. "While circumstances may change, which means all bets are off, we do not foresee challenges to this cohort of loans when it comes to dispositions in the next several years. Risk-averse multifamily opportunities are there for the taking."

Loans slated to mature over the next few years have, overall, posted a steady increase in net operating income, or NOI⁠—and since interest rates are at historical lows, "owners should have the opportunity to reap rewards with the equity built since the great financial crisis," according to Barrie.