- Cash-out refinancings made up 55.1% of classified loan volume through July 2026, up from 39.7% in 2024, while cash-in deals fell to 32.8% from 42.5%.
- Equity extracted equaled 16.0% of the total debt stack, below 22.5% in 2022, and office and retail borrowers still contributed about 15% to refinance.
- Acquisition loans totaled $1.49B through July, an annualized pace 43.4% below 2022, so the conduit recovery leans on refinancing existing owners rather than a pickup in sales.
Cash-out refinancings now account for 55.1% of classified conduit CMBS loan volume through July 2026, according to Trepp’s Conduit CMBS Sources and Uses Report. That is up from 39.7% in 2024.
The report tracks the 15 largest loans in each conduit deal from May 2021 through July 2026 and finds a market that has moved past the defensive conditions of 2023 and 2024 but remains short of 2021 and 2022.
Get Smarter about what matters in CRE
Stay ahead of trends in commercial real estate with CRE Daily – the free newsletter delivering everything you need to start your day in just 5-minutes
From Cash-In to Cash-Out
As rates rose and values reset, more borrowers had to bring cash to refinance. Cash-in loans jumped from 14.4% of classified volume in 2022 to 42.5% in 2024.
That pressure has eased. Cash-in refinancings fell to 32.8% of volume through July 2026.
Equity Extraction Stays Below 2022
Equity extraction in cash-out deals equaled 16.0% of the total debt stack through July 2026, compared with 22.5% in 2022 and a 20% to 23% range in 2021 and 2022.
Cash-in borrowers still contributed 9.6% of the debt stack, nearly double the 4.9% seen in 2021. Office and retail borrowers put in about 15%.
Acquisition Lending Lags
Acquisition lending remains subdued. Conduit acquisition loans totaled $1.49B through July 2026, an annualized pace 43.4% below 2022.
Trepp describes a two-speed market: stronger assets can again return capital to owners, but lenders are more conservative on leverage, a theme also seen as loan-to-value ratios shift with lender competition.
Why It Matters
Leverage has recovered more slowly than loan purpose. Borrowers can pull equity out again, but not at the levels they could three to four years ago.
That limits how much capital owners can recycle into new deals and keeps the conduit market tied to existing ownership.
What’s Next
Refinancing conditions keep shifting, and Treasury yields matter for the next leg. Watch whether the cash-out share keeps rising and whether acquisition volume finally closes the gap with 2022.
