Chicago FHLBank Awards AH Grants

The Chicago Federal Home Loan Bank has awarded $16.5 million to 72 affordable housing organizations that work with a local FHLBank member institution to create or rehabilitate nearly 3,000 units of affordable housing.More than half of the units will be reserved for very-low-income households earning less than 50% of the area median income, the Chicago FHLBank said. The remaining units will be affordable to households at or below 80% of the area median income. In addition to these funds, the Bank reserved just over $6.9 million as of June 30 to provide downpayment and closing-cost grants of up to $5,000 for 1,476 eligible homebuyers through its Downpayment Plus Program. Each year, the Chicago FHLBank allocates 10% of its prior year's earnings to provide affordable housing subsidies. "This year's total of at least $39.4 million represents a 55% increase from the total amount awarded last year," said Eldridge Edgecombe, senior vice president and community investment officer at the Chicago FHLBank.