Outstanding multifamily mortgage debt rose to $826 billion in the second quarter, up a slight 0.7% from the first quarter and an increase of $5.4 billion, the Mortgage Bankers Association said this week.

When looking at all commercial mortgage debt, including multifamily, it fell by $10.4 billion from the first quarter to $2.37 trillion.

The falling debt level for all commercial mortgages is attributed to more loan pay-offs and quick pay-downs.

"The drop in CMBS balances more than offset the increases in holdings by Fannie Mae, Freddie Mac, the FHA, banks and life insurance companies," said Jamie Woodwell, vice president of commercial real estate research.

Commercial banks still hold the largest share of commercial and multifamily mortgages in the amount of $815 billion, or 34%, to be exact. The second largest holders of the mortgages are CMBS, CDO and ABS financing vehicles.

When looking at just multifamily mortgage debt, agency, MBS and GSE portfolios continue to hold the largest share of it valued at $360 billion, or 44% of the total multifamily debt outstanding.

Banks and thrifts hold about $225 billion, or 27%, of the debt.

kpanchuk@housingwire.com