SEATTLE--(BUSINESS WIRE)--The Federal Home Loan Bank of Seattle (Seattle Bank) has announced the availability of approximately $9.3 million in affordable housing subsidy in 2012. The Seattle Bank will offer approximately $5.3 million in subsidy for affordable rental or owner-occupied housing through the 2012 Affordable Housing Program (AHP) and approximately $4.0 million in downpayment assistance for first-time homebuyers through the 2012 Home$tart Program. All funds will be distributed through community financial institutions that are members of the Seattle Bank cooperative.
“We are very pleased to announce the availability of this funding at a time when subsidies for affordable housing are becoming increasingly scarce,” said Seattle Bank President and CEO Mike Wilson. “Based on their knowledge of local housing needs and partnerships with affordable housing providers, our members will be able to put these funds to work to make a positive difference for the individuals, families, and communities they serve.”
The Seattle Bank’s AHP and Home$tart Program are funded with 10 percent of the bank’s annual net income. The Seattle Bank’s AHP is designed to finance affordable rental or owner-occupied housing for very low-, low-, and moderate-income households. AHP funds are available through a competitive application process in which providers of affordable housing partner with Seattle Bank members to submit an application for funding. The Seattle Bank’s 2012 AHP application will be available on or around May 15, 2012, with applications due by 4:00 p.m. Pacific Time on August 1, 2012. Since its inception in 1990, the Seattle Bank’s AHP has provided $142.6 million in funding to serve more than 27,000 households.
The Seattle Bank’s Home$tart Program provides downpayment assistance to first-time homebuyers earning up to 80 percent of their area’s median income. On April 2, 2012, the Seattle Bank will make $1.5 million of Home$tart Program funds available to all Seattle Bank members on a first-come, first-served basis. In addition, the bank will equally allocate $2.5 million to Seattle Bank members that enrolled a homebuyer in the previous Home$tart Program year. The allocated funds will be available to these members through July 31, 2012, after which time, any unused funds will be made available to the first-come, first-served pool. Since its inception in 1995, the Home$tart Program has provided $42.2 million to assist more than 8,500 homebuyers purchase their first homes.
The Seattle Bank also offers reduced-rate loans to finance affordable housing and economic development activities serving households or communities up to 115 percent of area median income. These loans are available on an ongoing basis through the Seattle Bank’s Community Investment Program and Economic Development Fund (CIP/EDF). Since its inception in 1990, CIP/EDF loans have provided $3.6 billion to support the financing of more than 49,000 affordable rental and owner-occupied homes and a wide variety of economic development initiatives.
For more information about the Seattle Bank’s community investment programs, including details about how to apply, visit the Seattle Bank’s website at www.fhlbsea.com/communityinvestment.
About the Seattle Bank
The Federal Home Loan Bank of Seattle is a financial cooperative that provides liquidity, funding, and services to enhance the success of its members and support the availability of affordable homes and economic development in the communities they serve. Our funding and financial services enable approximately 350 member institutions to provide their customers with greater access to mortgages, commercial loans, and affordable housing.
The Seattle Bank serves community financial institutions in Alaska, Hawaii, Idaho, Montana, Oregon, Utah, Washington, Wyoming, American Samoa, Guam, and the Northern Mariana Islands. Members include commercial banks, credit unions, thrifts, industrial loan corporations, and insurance companies.
The Seattle Bank is one of 12 Federal Home Loan Banks in the United States. Together, the Federal Home Loan Banks represent one of the country’s largest private sources of liquidity and funding for community financial institutions, as well as funding for affordable housing.
This press release contains forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995, including preliminary highlights of financial statements as of and for the year ended December 31, 2011, on which the Seattle Bank's external auditor has not completed its audit. Forward-looking statements are subject to known and unknown risks and uncertainties, and actual financial performance and condition and other factors may differ materially from that expected or implied in forward-looking statements. The Seattle Bank does not undertake to update any forward-looking statements made in this announcement.