December SBA Prepayment Speeds
December 14, 2018
Equipment and Real-Estate SBA 7(a) pools posted 24% and 25% declines, respectively, in their 1mo CPRs measured month-over-month.
Equipment Loan Pools
Taking a look at speeds by vintage, every vintage of consequence posted a month-over-month decline, save the 2017 issue pools. Their increase (12%) wasn’t nearly as large as the declines seen elsewhere though.
Real-Estate Loan Pools
Real-Estate speeds by vintage were more uniform. Every vintage of consequence posted a month-over-month decline. The 2011 vintage did see a 10% increase month-over-month from 21.04% to 23.21%; however, the 2011 vintage only represents 4% of total outstanding RE pools.
Please note that the linked tables now include 12 month moving averages as there are now fifteen months of available history subsequent to the principal distribution related procedural changes implemented last October.
Prepared according to methodologies described by SIFMA.
Kevin Smith, CFA
SVP, Director Investment Product Strategies
Analyst, Investment Product Strategies