Commercial Mortgage Loan Originations Surge 52% in Q1 2026

Commercial and multifamily mortgage loan originations experienced a robust 52% growth in the first quarter of 2026 compared to the same period the previous year, although they saw a 30% decline from the fourth quarter of 2025. This data, collected from the Mortgage Bankers Association’s (MBA) Quarterly Survey of Commercial/Multifamily Mortgage Bankers Originations, underscores key trends in the lending landscape.

Reggie Booker, MBA's Associate Vice President of Commercial Research, highlighted the significant 52% annual increase, indicating a rebound in lending activities. The substantial 80% surge in depository lending played a crucial role, driven by the large volume of maturing bank loans in 2026 requiring refinancing. Booker noted the typical seasonal decline from the fourth quarter does not diminish the positive market recalibration.

The growth was notably driven by increased originations in sectors such as healthcare, retail, hotel, and industrial properties. Year-over-year data showed a 209% rise in healthcare property loans, a 148% increase for retail, an 85% uptick for hotels, a 56% rise for industrial properties, and a 49% increase for multifamily properties. However, office property loan originations registered a 2% decline compared to the previous quarter.

The report illuminated a 133% year-over-year surge in loan volume for investor-driven lenders, 80% for depositories, 38% for government-sponsored enterprises such as Fannie Mae and Freddie Mac, and a 9% rise for life company loans. In contrast, loans for commercial mortgage-backed securities (CMBS) decreased by 14%.

Quarterly comparisons reveal a 28% drop in multifamily property originations from the fourth quarter of 2025, with similar declines in office and industrial properties. However, hotel property originations increased by 3%, and healthcare properties saw a remarkable 70% rise. Investor-specific assessments showed a 37% reduction for depositories, 36% for life insurance companies, 35% for GSEs, 23% for CMBS, and an 18% decrease for investor-driven lenders.

For a comprehensive understanding of these trends, further insights are available in the full MBA report, accessible on their official website.