The Banks are Back: Is Multifamily the Next Bubble for Lenders? via Property Management Insider

In the first of our four-part series on bank multifamily lending, we highlighted the remarkable growth in multifamily loans issued by commercial banks. Among all bank lending categories, none has grown faster than multifamily over the past six years. Multifamily as a share of overall lending has surged to a 20-year high. In the second part, we outlined how most of the megabanks have sat on the sidelines of this wave. Instead, it’s banks outside the nation’s top 35 by asset size.

Given the rapid growth in multifamily lending on the tails of a major recession, it’s appropriate to ask the obvious question: Is multifamily reaching a bubble?

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