The AHP subsidizes the cost of housing for very low-income and low- or moderate-income owner-occupied and rental housing. The subsidy may be in the form of a grant (“direct subsidy”) or a below-cost interest rate on an advance (loan) from the FHLBank to a member lender. AHP subsidies must be used to fund the purchase, construction or rehabilitation or refinancing of:

o        owner-occupied housing for very low-income and low- or moderate-income households (at or below 80% of area median income (AMI)); or

o        rental housing in which at least 20% of the units will be occupied by and affordable for very low-income households (50% of AMI). (AHP funds may also be used to fund additional units targeted to households with incomes up to 80% of AMI.)

Each of the 12 FHLBanks contributes at least 10% of its annual net earnings to its AHP. The majority of the AHP subsidy is made available through a competitive application process at each of the FHLBanks. Member lenders submit applications for subsidy on behalf of the sponsors of eligible housing projects. The rest of the subsidy is made available through an optional homeownership set-aside process.

Funding Category:	Purchase, construction, rehabilitation or refinancing of owner-occupied housing for very low-, and low- and moderate-income households; or to finance the purchase, construction, and/or rehabilitation of rental housing for very low-income households.
Target Population:	Very low-, low- and moderate-income households
Funding Available:	Currently the FHLBanks are required to contribute 10 percent of net earnings or $100 million per year, whichever is greater. In 2001, a combined total of $246 million is available for the AHP.
Application Information:	Federal Home Loan Bank of New York (FHLBank), (212) 441-6600
Contact:	Home Loan Bank of New York, (Executive Office), 200 Park Avenue, New York, New York 10166-4193, Tel: (212) 294-1800; Fax: (212) 294-6701; Donald J. Wolff , Community Investment Officer, Federal Home Loan Bank of New York, Tel: (212) 294-1770; Federal Housing Finance Board, 1777 F Street, NW, Washington, DC 20006-5210, Tel. (202) 408-2500.
Links To More Info:	Federal Housing Finance Board AHP Description AHP Competitive Application Program AHP Homeownership Set-Aside Program
Administering Agency:	New York Federal Home Loan Bank, Federal Housing Finance Board