WSJ: HFA's Caught in Credit Crunch.

Story on State Housing Finance Agencies is HERE.

Discusses avoidance of market avoidance of bonds, problems with variable rate debt.

Two options I don't see mentioned in the story:

1. Ability of HFA's to securitize their loans into GNMA securities, with FHA insurance, and any positive impact that would have on bond rates once bond is wrapped with full faith and credit gurantee of federal government.
2. Ability to Use Mortgage Credit Certificate in lieu of bonds.