Fannie Mae and Freddie Mac say the declining condition of commercial properties is one of the biggest challenges facing multifamily servicers today.

 "Our top shared concern is really all about physical risk," said Karyn Sandelman, portfolio services director for Freddie Mac, speaking at the Mortgage Bankers Association (MBA) conference in New York. "We have declining cash flows and overextended borrowers and an unwillingness to take care of the real estate."

Subscribe Now

Access to a full range of industry content, analysis and expert commentary.

30-Day Free Trial

No credit card required. Access coverage of the securitization marketplace, including breaking news updated throughout the day.