SBA Prepay Commentary

August SBA Prepayment Speeds



August 2019


In total, Equipment and Real-Estate SBA 7(a) posted mixed CPRs for August. CPRs for the Equipment pool population declined to 17.0 CPR from 17.7 CPR in July. The decline in Equipment pool CPRs was largely driven by more seasoned vintages (2012-2015) that slowed down month-over-month, but are all still paying above 20 CPR. Real-Estate speeds increased to 20.1 CPR from 18.1 CPR in July and were driven by more broad-based increases. From a practical standpoint, we will be interested to see if we experience any broad-based slowing of speeds over the next few months as business owners, in otherwise good shape, may choose to stockpile liquidity in what is becoming a more volatile economic and business landscape.



Equipment Loan Pool CPRs



Real-Estate Loan Pool CPRs



SBA Prepayment Tables (Click for Details)

Prepared according to methodologies described by SIFMA.





Kevin A. Smith, CFA

SVP, Director Investment Product Strategies

Vining Sparks

KSmith@viningsparks.com


Adam Hofer

Analyst, Investment Product Strategies

ViningĀ Sparks

AHofer@viningsparks.com


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