Today, in the Calculated Risk Real Estate Newsletter: Fannie and Freddie Serious Delinquencies in May: Single Family Declined, Multi-Family Increased
Brief excerpt: Single-family serious delinquencies continued to decline in May, however, multi-family serious delinquencies are now increasing.
Freddie Mac reports that multi-family delinquencies increased to 0.20% in May, up from 0.07% in May 2022.
This graph shows the Freddie multi-family serious delinquency rate since 2012. Rates were still high in 2012 following the housing bust and financial crisis.
The multi-family rate increased following the pandemic and has increased recently as rent growth has slowed, vacancy rates have increased, and interest rates have increased sharply. This will be something to watch as rents soften. You can subscribe at https://calculatedrisk.substack.com/.