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The U.S. Department of Housing and Urban Development on Tuesday extended COVID-19 foreclosure and forbearance moratoriums for FHA and USDA loans to June 30, 2021. It also extended the deadline for the first legal action and the reasonable diligence time frame to 180 days. Read full story
We’re only mid-way into July, but early indications are that delinquency rates are improving. In this week’s episode of The TreppWire Podcast, we examine the factors behind a potentially declining CMBS delinquency rate, noteworthy CRE headlines of the week, the CMBX 10 index, shifts in the office market, and takeaways from bank earnings. Listen now.
About $21 billion of CMBS loans have been moved to special servicing since the middle of March — more than double the total for all of 2019, according to Fitch Ratings. Hotel and retail properties have accounted for the most transfers to special servicing. Read full story
More than 100 members of Congress are requesting that the Federal Reserve and the Trump administration support real estate borrowers who are unable to keep up with payments on debt tied to CMBS. “Without a long-term relief plan in the face of an elongated crisis, CMBS borrowers could face a historic wave of foreclosures starting this fall, impacting local communities and destroying jobs for …
Fannie Mae has hired Morgan Stanley and Freddie Mac has hired JPMorgan Chase as financial advisers, a necessary step toward recapitalization and an exit from government custodianship. Federal Housing Finance Agency Director Mark Calabria has told lawmakers the exit plans have been delayed by the coronavirus pandemic and could be further affected by borrowers’ repayment difficulties. Read full story
There is no question that mortgage originators have faced difficulties in the past few weeks. But for servicers, the situation is much more dire as they face problems on multiple fronts caused by the virus, along with the increase in demand. Read full story
Individual investors are showing enthusiasm for public non-listed REITs in the hopes of securing strong returns and stable income flows. Investment firms brought in $10 billion for these funds during the first 11 months of last year, up from a combined total of $8.8 billion for 2018 and 2017, according to Robert A. Stanger & Co. Read full story
Another rate cut from the Federal Reserve is expected when the central bank meets in two weeks, and it could be a quarter-point decrease. Opinions among the Fed’s bank presidents differ, with some saying no additional rate cuts are needed and Federal Reserve Bank of St. Louis President James Bullard calling for a bigger cut. Read full story
Has confidence in the stock market fatally slipped? Read full story
The Fed’s interest rate cut is unlikely to boost commercial real estate values, according to industry sources. Read full story
The Federal Reserve has lowered its benchmark interest rate by a quarter percentage point, the first decrease since the financial crisis. Chairman Jerome Powell’s comment that the action is “not the beginning of a long series of rate cuts” triggered a stock market sell-off and criticism from President Donald Trump. Read full story
Appetite to purchase tax-exempt bonds is at high level, according to finance leaders. Read full story
The preference for real estate investments compared to other asset classes such as stocks is strong right now, says Greg McBride, Bankrate.com chief financial analyst. He notes that the 20% drop in the stock market last year rattled a lot of investors and that stocks haven’t quite shed their stigma from the financial recession ten years ago, especially among Millennials. Read full story
The federal program is expected to fuel the development of small and midscale multifamily assets. Read full story
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