This refers to securities backed by mortgages on commercial properties as opposed to residential real estate. They can provide liquidity to commercial lenders and real estate investors alike. This kind of securities can be more volatile and complex because of the unique nature of underlying property assets.
CMBS (commercial mortgage-backed securities)
This refers to securities backed by mortgages on commercial properties as opposed to residential real estate. They can provide liquidity to commercial lenders and real estate investors alike. This kind of securities can be more volatile and complex because of the unique nature of underlying property assets.