Commercial and Multifamily Mortgage Debt Outstanding Increases in 2023Q4

On Thursday, the Mortgage Bankers Association (MBA) released its latest Commercial/Multifamily Mortgage Debt Outstanding quarterly report. According to the MBA, the level of commercial and multifamily mortgage debt outstanding at the end of 2023 was $130 billion, 2.8% higher than at the end of 2022.

The MBA report found that mortgage debt outstanding rose 0.9%, or $41.8 billion, to $4.69 trillion in 2023Q4. Multifamily mortgage debt grew 1.2%, or $25.0 million, to $2.09 trillion during Q4 and grew 4.4%, or $88.5 billion, for the entire year.

Commenting on the results of the report, MBA Head of Commercial Real Estate Research Jamie Woodwell said,

“The amount of commercial mortgage debt outstanding grew in the final quarter of 2023 and for the year as a whole. However, the increase was among the slowest paces since the mid-2010s. Every major capital source increased its mortgage holdings during the year. Mortgage originations were down by roughly 50% in 2023 compared to 2022, but that meant that few loans were paying off, helping maintain portfolio sizes even in the face of lower inflows.”