Capital Magnet Fund
The CMF Program offers competitively awarded grants to CDFIs and nonprofit affordable housing organizations to finance affordable housing solutions and community revitalization efforts that benefit individuals and families with low-incomes and low-income communities nationwide. To date, the Capital Magnet Fund has:
- Generated $20 of additional investment for every $1 of award funding
- Created over 63,000 affordable homes, including more than 55,600 rental housing units and 7,400 homeowner-occupied units
January 18, 2023
March 21, 2023
October 4, 2023
Low-income families across America experience difficulty finding affordable housing, with many spending over half of their paychecks on rent. This burden leaves little income for other necessities such as food, medical care, transportation, and savings – essential services that are often not readily available in low-income communities. The Capital Magnet Fund was created to spur investment in affordable housing and related economic development efforts that serve low-income families and low-income communities across the country.
Through the Capital Magnet Fund, the CDFI Fund provides competitively awarded grants to CDFIs and qualified non-profit housing organizations. These awards can be used to finance affordable housing activities, as well as related economic development activities and community service facilities. Awardees are able to utilize funds to create financing tools such as loan loss reserves, revolving loan funds, risk-sharing loans, and loan guarantees. Organizations that receive Capital Magnet Fund awards are required to produce housing and community development investments at least ten times the size of the award amount, generating a multiplier effect that means that more low-income people and low-income communities nationwide will have housing options within their financial reach.
Capital Magnet Fund Applicants must be:
- A Certified CDFI, or
- A non-profit organization operating with a principal purpose of developing or managing affordable housing solutions
All Applicants (regardless of entity type) must demonstrate that they have been in existence as a legally formed entity for at least three years prior to the funding round application deadline.
For more detailed information, please refer to the Notice of Funds Availability (NOFA).