SBA Prepay Commentary
November SBA Prepayment Speeds
Equipment and Real-Estate SBA 7(a) pools had mixed CPRs for the month of November. Equipment loan pools declined slightly from October’s 16.6 to 16.1 CPR. Results on specific vintages were mixed, with the older and smaller pools generally increasing. Real-Estate loan pools increased from October’s 18.7 to 21.1 CPR. The changes in speeds for individual vintages were not as drastic as those of Equipment pools.
Equipment Loan Pool CPRs
- Most vintages are still experiencing speeds above their twelve-month averages. However, the results are now mixed in relation to vintages’ six-month averages.
- The sharpest decline came from 2010 vintages, which went from 66.9 to 45.6 CPR.
Real-Estate Loan Pool CPRs
- Speeds across vintages generally increased, except for 2008, 2017, and 2019.
- Most vintages reversed their increase/decrease direction from last month.
- 2013 and 2010 had the largest changes, going from 15.4 to 26.0 CPR and 14.4 to 24.4 CPR, respectively.
Prepared according to methodologies described by SIFMA.
Kevin A. Smith, CFA
SVP, Director Investment Product Strategies
Analyst, Investment Product Strategies