Ever since the real estate crunch in 2008, people have been extremely anxious regarding 10 year loans made around 2005-2007. Lenders feared a wave of defaults as owners would, seemingly, have an impossible time selling or refinancing after such a downturn.
However, the punch is going to be a bit lighter than anticipated. With 2015 right around the corner, things are looking brighter for those in repayment situations. Real estate values are rebounding all across the country, and financing is becoming less strict.
However, there is still a flood of loans coming to fruition soon ($126 billion in 2016), all of which will probably not be able to receive refinancing. The swarm of new commercial mortgage-backed securities is indeed growing, but lagging behind the volume of past loans after months in a slump.
Nonetheless, with the economy recovering and a pool of shark investors lurking around every corner, both lenders and borrowers alike should be able to sleep easier.