Housing-Bond Sales Hit 10-Year High as Mortgage Rates Stay Lofty

  • Michigan, Rhode Island, Colorado entities borrowed recently
  • A 57% year-over-year jump in issuance of such bonds seen

Homes in Centreville, Maryland

Photographer: Nathan Howard/Bloomberg
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State and local governments borrowed nearly $9 billion for affordable housing so far this year — the most for the period in at least a decade — as buying a home in the US remains expensive.

The Michigan State Housing Development Authority’s recent $425 million bond sale is expected to help more than 2,700 families get lower mortgages, said Chief Financial Officer Jeffrey Sykes. Rhode Island Housing sold about $125 million of non-taxable bonds to aid first-time home buyers. Colorado ski town Telluride borrowed $31.8 million, half of which will be used to buy and build affordable rental housing.