Form: 10-K

Annual report pursuant to Section 13 and 15(d)

March 25, 1998

LIST OF CONSOLIDATED ENTITIES

Published on March 25, 1998




Exhibit 21.1




Dynex Capital, Inc.
List of Consolidated Entities
As of December 31, 1997





Multi-Family Finance Corporation
MSC 1 L.P.
Issuer Holding Corp.
Commercial Capital Access One, Inc.
Resource Finance Co. One
Resource Finance Co. Two
SHF Corp.
ND Holding Co.
Merit Securities Corporation

Dynex Holding, Inc.
Dynex Financial, Inc.
DFI of Alabama, Inc.
National Model Homes, Inc.
KBOne, Inc.
KBMex, Inc.
RHOne,Inc.
Lev One, Inc.
Dynex Commercial, Inc.
GLS Capital, Inc.
SMFC Funding Corporation
Dynex Securities Corporation






NOTE: All companies were incorporated in Virginia except for Dynex Holding,
Inc. (Delaware).