SALEM, Ore. — Oregon Housing and Community Services has received a major financial boost after Moody’s Ratings upgraded the agency’s issuer rating from A2 to A1, a move expected to lower borrowing costs and expand affordable housing investments across Oregon.
The improved rating places OHCS among a stronger tier of investment-grade housing finance agencies nationwide and could allow the agency to finance housing projects more efficiently. Officials said the savings from lower borrowing costs can be reinvested into affordable housing programs without requiring additional public spending.
“Delivering housing solutions that make life better and more affordable requires delivering public excellence in agency operations,” said OHCS Executive Director Andrea Bell. “Receiving Moody’s strong A1 issuer rating reflects commitment to OHCS’ mission and accountability to the people of Oregon and the Legislature.”
State leaders said the upgrade recognizes the agency’s financial management practices and long-term stability as Oregon continues to face housing affordability challenges.
“When you pair prudent financial management with thoughtful program design, we can make taxpayer dollars go further,” said Tina Kotek. “This even stronger credit rating will help us build more housing in all parts of the state.”
According to Moody’s, the higher rating was driven by OHCS’ strong balance sheet, consistent financial performance, and ability to sustain its programs over the long term. The agency’s loan portfolio — largely tied to its Single-Family Mortgage Revenue Bonds Program — was also cited as a key strength.
Stockton Williams, executive director of the National Council of State Housing Agencies, praised the agency’s management and results.
“Oregon Housing and Community Services is to be commended for this vote of increased confidence based on the agency’s stellar management and strong results, which will bolster its ability to continue to serve the people of Oregon efficiently and effectively,” Williams said.
Moody’s also highlighted OHCS’ conservative risk management approach, proactive leadership team, and strong governance practices as factors supporting the upgrade.
The new A1 rating may also reduce financing costs for short-term bond obligations, potentially allowing the agency to stretch housing dollars further as demand for affordable housing and homeownership assistance continues statewide.
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