The long-term ratings on Minnesota Housing Finance Agency's (MHFA) residential housing finance bonds reflect: Very strong financial performance and credit quality of the residential housing finance bond program, High levels of loan loss coverage provided by overcollateralization and a leveraged self-insurance fund, Cash flow strength, and Investments commensurate with the rating on the bonds. All bonds additionally benefit from the GO pledge of MHFA ('AA+') and the moral obligation pledge of Minnesota ('AAA'). The dual ratings on the convertible option series bonds reflect the investment of bond principal in investment agreements with appropriately rated providers until the mandatory tender dates scheduled for each series. The short-term rating of 'NR' on the series 2002C and 2002D bonds reflects the lack of
