Third quarter 2016 commercial and multifamily mortgage loan originations were 5% higher than the third quarter of 2015 and 7% higher than the second quarter of 2016.

“Rising property values, robust property fundamentals, low interest rates and a strong transaction market continue to drive potentially record setting paces in commercial and multifamily mortgage originations,” said Jamie Woodwell, MBA’s vice president of commercial real estate research. “Originations for bank balance sheets, life companies and Fannie Mae and Freddie Mac are all running ahead of last year’s record paces.”

And after a slow start to the year, even the commercial mortgage backed securities market saw a pick-up in the third quarter.

A rise in originations for industrial and multifamily led the overall increase in commercial/multifamily lending volumes when compared to the third quarter of 2015. The third quarter saw a 32% year-over-year increase in the dollar volume of loans for industrial properties, a 26% increase for multifamily properties.