American Banker, February 8, 2023, What Comes Next For The Federal Home Loan Bank System?
he Home Loan banks play a critical role in supporting housing finance and community development throughout the country. They do so by providing low-cost funding to their member financial institutions (that is generally collateralized by housing or real estate assets), purchasing single-family mortgages and providing grant funding to support affordable housing development. The funding provided by the Home Loan banks enables community banks, for example, to focus on local mortgage lending, often in rural areas and to low- and moderate-income borrowers.
