GMHF Awarded $16 Million to Expand Affordable Homeownership Across State

We are excited to share that Greater Minnesota Housing Fund has been awarded $16 million through Minnesota Housing’s Homeownership Investment Grant (HIG) program to support the expansion of affordable homeownership across the state.

This significant investment will power a new dedicated Revolving Loan Fund designed to finance a range of homeownership activities, such as predevelopment and construction of new homes, rehab of tax-forfeited properties, and homeownership conversions of rental housing originally developed with Low-Income Housing Tax Credits (LIHTC). The funds will also be paired with technical assistance and capacity building through GMHF’s existing support programs for emerging developers and Tribal partners.

“We’re already lending in these areas, and this award enables us to spur increased production of affordable homeownership opportunities for more Minnesotans — especially in greater Minnesota and Tribal communities,” said Andrea Brennan, GMHF CEO & President. “It allows us to offer lower interest rates to developers, helping reduce the overall cost of building more affordable homes. And because we’re a CDFI, every dollar we receive from the HIG program can leverage $2 in additional private capital — greatly multiplying the impact of these public funds.”

“Our Revolving Loan Fund model is designed for long-term sustainability,” explained John Rocker, Managing Director of Lending. “Developers borrow from the fund, build or rehab homes, sell them to income-qualified buyers, repay the loan, and we redeploy that capital to support more homes. With this HIG investment, we estimate financing 485 homes within three years and up to 920 homes over the next decade.”

This award underscores our continued commitment to advancing homeownership and building strong communities — particularly those that have historically been underserved by traditional resources. The HIG grant will accelerate this work and help create a more equitable housing landscape across the state.

More information on the new Revolving Loan Fund will be available this fall. Stay tuned as we roll out this impactful new program.