January 6, 2016
by Bob Judge
Editor, CPR Report
C-Suite — SBA 7(a) Prepays Back Above 8%
In October, prepays moved back above 8% for the second time in the last six months.
Defaults rose by 55%, but stayed below CDR 2% for the 26th month in a row.
Overall prepayments rose by 3% to 8.08% from 7.81%.
Looking at the largest sector, the 20+year maturity prepayment speeds fell by 4% to 7.75% from 8.11%. We saw speeds rise in three out of six categories of our maturity buckets.
While this year we have seen only a small increase over 2014, next month’s print above 9% suggests next year we will continue to see prepayment increases, year-over-year.
You can view the full report here.