06/26/2024
TREASURY DEPARTMENT ROLLS OUT NEW INITIATIVE TO INCREASE HOUSING AFFORDABILITY
by Phil Hall | Jun 24, 2024 | Industry Updates, News/Current Events, Real Estate News, U.S. Housing Market, WRE News Exclusive |
The U.S. Department of the Treasury has announced a new effort to boost housing affordability.
According to a press statement from the Treasury, the new initiative will include the launch of a program administered by the CDFI Fund to provide an additional $100 million over the next three years to support the financing of affordable housing. Treasury also pledged “an effort to provide greater interest rate predictability to state and local housing finance agencies borrowing from the Federal Financing Bank to support new housing development,” along with a push to encourage increased housing programs spending the Federal Home Loan Banks.
Furthermore, the department will publish a “How-To Guide” for state and local governments seeking to use Treasury recovery funds to construct housing, and it will update to the Capital Magnet Fund to provide greater flexibility to community development financial institutions and nonprofits engaged in affordable housing financing.
Treasury Secretary Janet Yellen acknowledged this will not be a be-all/end-all solution to the issue.
