SAN DIEGO—CRE delinquency rates are rising dramatically for office, according to Jamie Woodwell, vice president and head of CRE research at the Mortgage Bankers Association. That likely is not a surprise to observers but as Woodwell released the national delinquency rate survey MBA conducted, he emphasized that this is a huge industry, and not only are the property types performing differently, but within them, they are all different. "Each property is different, each owner is different and you cannot paint a broad breaststroke," he said.
The delinquency rate was up 26 basis points from the third quarter of 2023 but down 8 basis points from one year ago, explained Woodwell. The historical average for the seasonally adjusted mortgage delinquency rate from 1979 through 2023 is 5.25 percent. Of particular note, FHA delinquencies were up 131 basis points, the MBA survey says. The delinquency rate for mortgage loans on one-to-four-unit residential properties increased to a seasonally adjusted rate of 3.88 percent of all loans outstanding at the end of the fourth quarter of 2023.
The percentage of loans on which foreclosure actions were started in the fourth quarter remained unchanged at 0.14 percent, the MBA survey says.
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Natalie Dolce
Natalie Dolce, editor-in-chief of GlobeSt.com and GlobeSt. Real Estate Forum, is responsible for working with editorial staff, freelancers and senior management to help plan the overarching vision that encompasses GlobeSt.com, including short-term and long-term goals for the website, how content integrates through the company’s other product lines and the overall quality of content. Previously she served as national executive editor and editor of the West Coast region for GlobeSt.com and Real Estate Forum, and was responsible for coverage of news and information pertaining to that vital real estate region. Prior to moving out to the Southern California office, she was Northeast bureau chief, covering New York City for GlobeSt.com. Her background includes a stint at InStyle Magazine, and as managing editor with New York Press, an alternative weekly New York City paper. In her career, she has also covered a variety of beats for M magazine, Arthur Frommer's Budget Travel, FashionLedge.com, and Co-Ed magazine. Dolce has also freelanced for a number of publications, including MSNBC.com and Museums New York magazine.
