BiggerPockets Daily Delinquencies Hold Steady For Single-Family Homes, But Multifamily is Struggling
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Jun 4, 2025 Freddie Mac and Fannie Mae reveal a dip in serious mortgage delinquencies for single-family homes, offering relief to homeowners. In contrast, the multifamily sector faces tough times with maturing loans and limited refinancing options. Price growth in the condo market is also slowing down. This dynamic paints a complex picture for real estate investors, highlighting both challenges and potential opportunities in a shifting market.
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Single-Family Delinquencies Decline
- Serious mortgage delinquencies for single-family homes slightly declined in April, showing stability rather than crisis.
- Homeowners benefit from low fixed rates and rising equity, keeping delinquency rates below pre-pandemic levels.
Homeowners Locked In Low Rates
- Homeowners are reluctant to sell or refinance due to locked-in low mortgage rates and growing inventory.
- This lock-in effect is delaying the market unlocking, pushing it beyond the originally expected 2025-2026 timeline.
Multifamily Market Faces Rising Delinquencies
- Multifamily mortgage delinquencies are rising, driven by maturing short-term loans and difficulty refinancing amid high rates.
- Many landlords are operating on extensions or month-to-month arrangements, facing financial pressure unlike the stable single-family market.