State Housing Agencies Introduce Subprime Bailout Plans

Strapped borrowers could find relief thanks to affordable refi options.
REALTOR® Magazine Online
Several states are looking at ways to bail out subprime borrowers.

The Ohio Housing Finance Agency plans to issue $100 million in taxable bonds on April 2 to refinance about 1,000 loans averaging $100,000 each at a fixed rate of about 6.75 percent.

Maryland, Rhode Island, Massachusetts, and Virginia also have begun to underwrite bailout loans.

Colorado, California, Washington and Wisconsin are considering similar programs, according to Garth Rieman, director of housing advocacy at the National Council of State Housing Agencies.