**CRE Mortgage Volume Rises 66% Year-Over-Year in Q2 2025**
Commercial and multifamily mortgage loan originations surged in the second quarter of 2025, rising 66% year-over-year and 48% from the previous quarter, according to the Mortgage Bankers Association’s (MBA) Quarterly Survey of Commercial/Multifamily Mortgage Bankers Originations. The increase was driven by strong activity in the office, healthcare, and industrial sectors.
Specifically, the MBA reported a 140% year-over-year increase in the dollar volume of office property loans, a 77% rise for healthcare properties, a 53% increase for industrial properties, and a 30% uptick for retail. In contrast, originations for multifamily properties dropped 35% from the previous year, while hotel property loan originations declined by 30%.
“Commercial and multifamily borrowing gained significant momentum in the second quarter of 2025, with strong increases across most property types and capital sources,” said Reggie Booker, MBA’s Associate Vice President of Commercial Research. “While multifamily and hotel lending remain below last year’s levels, much of the strong annual growth reflects the exceptionally low levels of activity reported last year. Lending by depositories more than doubled, and originations by investor-driven lenders surged by over 90%, highlighting renewed interest from both traditional institutions and private capital.”
This resurgence signals growing investor confidence and demand in key real estate sectors amid a shifting economic landscape.
