Sector View: Stable
Our view on the sector has shifted to stable based on a demonstrated combination of organizations’ credit fundamentals and direct support: the financial strength and resilience of housing issuers, near-term government support helping to stabilize at-risk households’ finances and added funding for institutions. While we expect unemployment levels to remain elevated through 2021 and the evolution of the pandemic remains uncertain, we expect most housing entities will experience minimal credit pressures. Certain subsectors may even receive additional support from the new administration.
21 Jan, 2021