COLUMBUS, Ohio – Lower-income households that received mortgages through state affordable mortgage programs were less likely to default or foreclose than similar households that received conventional financing, a national study found.

Researchers examined the outcomes of homeownership programs administered by Housing Finance Agencies (HFAs), which are state chartered agencies operating in all 50 states that work to provide affordable housing to low- and moderate-income households.

The study of 140,000 households showed that HFA borrowers had a 29 percent lower risk of default and a 32 percent lower risk of foreclosure than similar households they were matched with that didn’t receive loans through HFAs. Within the first two years after closing on the home, this translates into just over a 2-percentage point reduction in the

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