Product Brochures - Federal Home Loan Bank of Des Moines

Community InvestmentResidential Lending AdvanceCommunity Investment Advances are a great resource to support housing and economicdevelopment initiatives in your community and are priced below corresponding regular advancerates. The Residential Lending Advance is available for targeted loans that support the purchase,construction, rehabilitation or refinancing of owner-occupied residential housing and rentalhousing.ELIGIBILITY CRITERIA• Advances are available for qualifying loans made to low- and moderate-income householdsor can be used to support affordable rental projects. In addition, loans may qualify in targetedrural or urban areas• Can be used in certain geographies regardless of the income of the borrowerFEATURES• Reduces interest rate risk when funding longer term assets• The minimum advance amount is $100,000• Terms are from one year to 20 yearsExampleA member was approached to fund a project involving the purchase and rehabilitation of anold school building into 50 low-income housing units. The long term financing package includedlow-income housing tax credits and low interest loans from the city and state. The project wouldalso need long term bank financing. The member was able to offer low rates by using CommunityInvestment Advances. This enabled the member to offer a very attractive rate to the developer forthe long term loan.Certain restrictions apply. Please reference the Bank’s Member Products Policy and Collateral Procedures.QuestionsPlease call ourCommunity InvestmentDepartment at800.544.3452,ext. 1073 or emailcommunityinvestment@fhlbdm.com.6/1/12