Glossary of Terms

Commercial Mortgage-Backed Securities (CMBS) 2015-09-16 08:00:00

Commercial Mortgage-Backed Securities (CMBS)

Securities collateralized by loans secured by commercial property. A CMBS loan is a first-mortgage secured by commercial real estate which is bundled together with other mortgages in a large pool. The mortgage pool is then sold as a series of bonds which have been “tranched” according to risk profile.