ABOUT THE NATIVE CDFI RELENDING DEMONSTRATION PROGRAM
The Native CDFI Relending Demonstration program provides mortgage capital to NCDFIs through a 33-year loan at 1% interest rate with a 3-year payment deferral at loan onset. This capital can be used on tribal lands, Alaska Native Claims, and Hawaiian Homelands. The funds must be used to provide direct loans to recipients. The minimum loan request is $500,000, and must be provided to individual loan recipients within 3 years of loan closing. Repayment will be annually and consist of both principal and interest, after the initial 3-year deferral.
This program is still a trial program and the application period ended August 2024.
Eligible Uses of NCDFI Relending Demonstration Funding
- To purchase an existing property
- To build a new property
- To repair/renovate an existing property
- To relocate a home
- Essential household equipment such as carpet, ovens, ranges, refrigerators, washers, dryers, heating and cooling systems if the equipment is conveyed with the dwelling
- To purchase and prepare a site including grading, foundation plantings, seeding or sod installation, trees, walks, fences and driveways
- Must be in an eligible rural area, not be used for income producing activities, and not have a market value in excess of the applicable area loan limit.
Who Can Apply?
- Certified Native CDFIs
Application Resources: Tools for a Successful Submission
USDA Native CDFI Relending Demonstration Website