The New York State Housing Finance Agency tomorrow plans to convert $176.8 million of bonds sold in 2005 to variable rate from auction-rate mode because of recent spikes in rates in the auction-rate market.

“We believe we can get lower rates with variable-rate bonds,” HFA spokesman Philip Lentz said in an e-mail. “Auction rates are higher now because of volatility in that market.”

Subscribe Now

Independent and authoritative analysis and perspective for the bond buying industry.

14-Day Free Trial

No credit card required. Complete access to articles, breaking news and industry data.