Measuring the prices of loans sold through its platform, Boston-based ""DebtX"":https://www.debtx.com/Default.asp found commercial real estate (CRE) loan prices rose over the year in 2012 but ended the year with little change in December.
[IMAGE]""2012 was a very strong year in the CRE secondary loan market,"" said Will Mercer, managing director at DebtX, a marketplace for CRE loans.
[COLUMN_BREAK]Over the year, prices for impaired performing loans increased 9.1 percentage points. Prices for nonperforming loans increased an even higher 11.5 percentage points.
However, in December impaired performing loan prices showed no change, remaining at 80.5 percent.
Nonperforming loans, which also showed strength over the year, ended the year at 52.6 percent, a slight increase from the 52.2 percent recorded in November and a somewhat significant increase from the 41.1 percent recorded in December 2011.
DebtX estimated whole loans making up the commercial mortgage-backed securities market are priced at 89 percent as of December, down from 89.4 percent in November but up from 86.1 percent a year ago.
DebtX also calculates the liquidity of loans sold through its platform with the Loan Liquidity Index. Like prices, liquidity dropped slightly in December, falling from 180.4 in November to 108.2 in December. However, loans sold through DebtX are more liquid than they were a year ago when the index charted 94.9.