Commercial and Multifamily Mortgage Bankers Originated $441.5 Billion in 2020

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Adam DeSanctis
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WASHINGTON, D.C. (April 15, 2021) - Commercial and multifamily mortgage bankers closed $441.5 billion of loans in 2020, according to the Mortgage Bankers Association's (MBA) 2020 Commercial Real Estate/Multifamily Finance Annual Origination Volume Summation. The $441.5 billion in commercial and multifamily mortgages closed last year was 26 percent lower than the record $601 billion reported in 2019. 

"Commercial and multifamily borrowing and lending in 2020 fell by a quarter from 2019's record year, as the COVID-19 pandemic disrupted the economy and created increased uncertainty," said Jamie Woodwell, MBA's Vice President of Commercial Real Estate Research. "The property types most impacted by the pandemic - lodging and retail - saw the largest declines in originations, while those in which investors and lenders had the greatest confidence - particularly multifamily - held up better. The source of capital also mattered, with government-backed loans from the Fannie Mae, Freddie Mac and FHA hitting new record-highs in volume."  

Multifamily properties saw the highest volume of mortgage bankers' origination volume last year at $272.0 billion, followed by office buildings, industrial properties, retail, health care and hotel/motel. First liens accounted for 98 percent of the total dollar volume closed.

The government-sponsored enterprises (Fannie Mae and Freddie Mac) were the leading capital source for originated loans in 2020, responsible for $164.1 billion of the total. Depositories saw the second-highest volume at $109.3 billion, followed by life insurance companies and pension funds, commercial mortgage-backed securities (CMBS) issuers, and FHA/Ginnie Mae.

For a copy of the report, please visit MBA's Online Store at: https://www.mba.org/news-research-and-resources/research-and-economics/commercial/multifamily-research/annual-origination-volume-summation.  

If you are a member of the media and would like a copy, please contact Adam DeSanctis at adesanctis@mba.org.