Multifamily CMBS Delinquencies Climb to 8.1%, Highest Since 2016

The delinquency rate on multifamily Commercial Mortgage-Backed Securities rose by 5 basis points in October, landing at 8.1% — the highest reading since 2016, according to @KobeissiLetter. That marks more than a fourfold increase since 2024, meaning the share of multifamily loans going bad has roughly quadrupled in a couple of years.

Offices are faring even worse. The CMBS delinquency rate for office properties jumped by 17 basis points last month, now sitting at 12.3%, which matches the all-time high set back in January 2026.

For scale, the office number is a genuine record-breaker. During the aftermath of the 2008 financial crisis, office CMBS delinquencies peaked at around 10.8% in 2012 — and today's 12.3% sits well above that post-crisis ceiling.

Multifamily, meanwhile, has blown past its own recent norms. Hitting 8.1% puts the sector at its worst point in roughly a decade, a sharp reversal for a property type that was long treated as the safest corner of commercial real estate.

The takeaway from the data is blunt: the commercial real estate crisis is still getting worse, not better. With both apartment and office borrowers struggling, the pressure on lenders and the broader CRE market shows no sign of easing.