**Commercial Mortgage Delinquencies Rise in Q2 2025, Led by CMBS Loans**
Commercial mortgage delinquencies saw an increase in the second quarter of 2025, according to the Mortgage Bankers Association’s (MBA) latest Commercial Delinquency Report. The report highlighted CMBS (Commercial Mortgage-Backed Securities) as the lender type with the highest delinquency rate, climbing to 6.36% — a 45 basis point increase from the first quarter. This figure includes loans that are 30 or more days delinquent or in real estate-owned (REO) status.
Banks and thrifts were the only other lender category to report mortgage delinquencies above 1% during Q2. Their delinquency rate rose to 1.29%, up one percentage point from the previous quarter.
Here’s how other major lender groups compared:
– **Fannie Mae**: 0.61%, down 2 basis points from Q1
– **Life Insurance Company Portfolios**: 0.51%, up 4 basis points
– **Freddie Mac**: 0.47%, up 1 basis point
“The delinquency rate for commercial mortgages increased in the second quarter of 2025 across most major capital sources,” said Reggie Booker, MBA’s Associate Vice President of Commercial Real Estate Research. “The largest increase was among CMBS loans, driven by rising delinquencies in both multifamily and office properties. Delinquency trends continue to reflect differences in property type, loan structure, geography, and borrower profile.”
