In Washington, “affordable housing” equates to cheap, lenient mortgage credit. Ed Pinto keeps trying to explain the consequences of this to Congress. His September 16 testimony is on the Community Reinvestment Act and affordable housing goals for Freddie and Fannie.

The GSEs’ delinquency rate on their $1.5 trillion in high risk loans, 85% of which are goals rich AH loans, is 15.5%. at 6.30.09 This is about 6.5 times the 2.4% delinquency rate on the GSEs’ traditionally underwritten loans

His testimony is very data-rich, and it successfully revives the charge that CRA and affordable housing goals were at the heart of the crisis. Read the whole thing.

His testimony for October 8 more or less says that FHA lending has picked up where CRA left off.

The combination of an increasing default rate, a soaring non-cure rate, and an extraordinarily high re-default rate on loan modifications is proof that FHA is merely postponing much of its expected losses, and is likely adding to its ultimate level of losses.