History & Accomplishments


The Alabama Housing Finance Authority is established by an act of the Alabama Legislature as a public corporation to create housing opportunities for low- and moderate-income citizens.

AHFA issues its first tax-exempt mortgage revenue bonds, providing $150 million in financing at 11 percent interest for 3,036 first-time home buyers.


Complete first multifamily bond issue, financing 416 units at an approximate cost of $13 million.


Transition is made to in-state single-family loan administration.


Surpass $1 billion mark in single-family mortgage revenue bonds issued.


Offer first single-family mortgage revenue bond issue with a rate below 8 percent.


Board of Directors hires an executive director.

Create Accounting Division.

Establish compliance program for multifamily projects.

Generate first private placement of single-family bond issue with Fannie Mae.

Begin administration of federal Low-Income Housing Tax Credit (LIHTC) program and finance first developments.


Single-Family Division is created.

All accounting and investment functions are brought in-house.


AHFA institutes the Mortgage Credit Certificate (MCC) program to provide federal tax credits to qualified homeowners.

Create Multifamily Division.

Publish first annual report.

Assume responsibility for administration of all single-family loans purchased through bond issues.


Create the Down Payment Assistance Program to provide interest-free loans to families who earn less than the state's median income.

Begin in-house arbitrage rebate calculations.

Administration of whole loan issues is brought in-house from two firms.

Single-Family Division creates first-come, first-served reservation system to make funds more readily available throughout the state.


Purchase 25,000th MRB loan.

Assume responsibility for writing the state's first Comprehensive Housing Affordability Strategy (CHAS) and developing a five-year plan to address Alabama's housing needs.

Offer first "Building Blocks to Homeownership" seminars, providing new and prospective home buyers with information on money management, consumer credit, financing tools and other topics.

Begin developing the HOME Investment Partnerships Program, a new federally funded housing program, for the state of Alabama.

Accounting Division becomes first in the nation to submit quarterly disclosure reports to various rating agencies.


Develop the Habitat for Humanity Loan Purchase Program, the first of its kind in the nation, and dedicate $1 million to the project.


Participate in nationwide campaign to win permanent federal extension of MRB and LIHTC programs.

Award first commitments of Alabama HOME funds in 12 counties, financing 568 units with the state's $14.686 million allocation.

AHFA-administered LIHTC program funds construction of 10,000th housing unit.

Create Research & Planning Division.

Accounting Division receives awards of merit presented by the National Council of State Housing Agencies recognizing its quarterly disclosure reports for single- and multifamily bond issues.


Make available $40 million in mortgage revenue bond loans at lowest mortgage interest rate ever--5.79%.

Become one of the first state housing finance authorities to earn a general obligation rating, obtaining an "A" rating from Moody's Investors Services for overall creditworthiness.

Communications department brings production of all publications in-house and earns top award for program excellence from the National Council of State Housing Agencies for AHFA's quarterly newsletter, Thresholds.

Single-family homeownership programs exceed $2 billion.

Funding and delivery of closed loans is brought in-house.

Offer 100% financing in 24 counties to disaster victims displaced by tornadoes, flooding and windstorms.

LIHTC program reaches $500 million milestone in construction activity generated.


Dedicate a second $1 million to the Habitat for Humanity Loan Purchase Program.

Participate in the development of Alabama's first Consolidated Plan, which provides a comprehensive look at affordable housing and community development needs, priorities and strategies.

Hold first combined cycle for HOME and housing credit funds.

A new promotional campaign recognizing outstanding customer service finds immediate success with AHFA's participating lender network.

Communications department earns top award for program excellence from the National Council of State Housing Agencies for AHFA's MRB brochures targeting potential home buyers.

Commemorate success in providing "A Firm Foundation for Fifteen Years."


Lead coalition to create the Access Alabama program, making homeownership an option for lower-income people with disabilities.

Alabama Home Builders' "Little House Under Construction" exhibit, sponsored by AHFA, begins traveling the state to teach children about the construction industry.

AHFA and the Alabama Bankers Association unite to create the Alabama Multifamily Loan Consortium.

Offer no-down-payment mortgages to storm victims in a record 39 of 67 counties in the aftermath of spring tornadoes and Hurricane Opal.

Employees participate in week-long "Blitz Build" of 10 Habitat homes.

State's homeownership rate hits a 12-year high, due in part to AHFA's affordable housing programs.


Solidify outreach to Hispanic population through publication of Spanish-language brochures.


Begin sponsoring a "School-to-Work" program with Montgomery Public Schools, training high school students in vocational skills through construction of Habitat homes.

Institute annual "Manager of the Year" award to recognize outstanding service at AHFA-funded multifamily developments.

Communications department recognized by the National Council of State Housing Agencies for its federal legislative campaign to adjust MRB and housing credit caps.


Now 42 members and $21.2 million strong, the AHFA-led Alabama Multifamily Loan Consortium closes its first loan for affordable apartments.

Commitment to the pioneering Habitat for Humanity Loan Purchase Program reaches $5 million mark.

Purchase the 100th loan through Habitat for Humanity partnership.

MRB program serves its 40,000th Alabama family.

Moody's Investors Service upgrades AHFA's general obligation rating to Aa3.

Launch the Rural Alabama Mortgage Program (RAMP), which uses small rural and community banks as loan originators for MRB loans and supplies affordable mortgage financing in rural markets where access to mortgage lenders traditionally has been limited.

In alliance with the Home Builders Association of Alabama, AHFA implements the Rehab Assistance Partnership (RAP) for home repair, weatherization and access modification, and commits $500,000 in mortgage financing for low-income homeowners.

Alabama's homeownership rate reaches 15-year peak of 74.8 percent, bolstered by AHFA's affordable housing programs.


Celebrate 20th anniversary and service to more than 78,000 Alabama families.

Third "School-to-Work" Habitat home built in part by Montgomery high school students benefits from AHFA funds.

Institute "Processor of the Year" program to recognize top single-family loan processing performance.

New Rehab Assistance Partnership (RAP) offers interest-free loans up to $10,000 to low-income homeowners for basic renovations through local home builders associations. The AHFA-led initiative was named "Best Community Service Project" by the Executive Officers Council of the National Association of Home Builders.

Communications department earns fourth award for program excellence from the National Council of State Housing Agencies for AHFA's quarterly newsletter, Thresholds.

Unveil the new Step Up program, making Alabama the first state to provide $100 million in mortgage funds and down payment assistance for moderate-income home buyers.


Dedicate a seventh million dollars to its pioneering Habitat for Humanity Loan Purchase Program.

In response to the state's settlement of the longstanding Wyatt v. Sawyer legal case, AHFA agrees to commit a major portion of its HOME and Housing Credit allocations for two years to building housing for more than 600 clients of the Department of Mental Health/Mental Retardation.

Distribute a detailed brochure to mortgage lenders, home builders, and realtors to explain the history and remove the mystery of federal recapture tax.

A three-way partnership uniting AHFA's Mortgage Revenue Bond program, New South Federal Savings Bank's mortgage origination services, and USDA Rural Development's Guaranteed Loan Program offers 100 percent financing to potential buyers in eight rural Alabama counties.


Institute Lender Online, a web-based loan reservation and tracking system, eliminating the need for phone-in loan reservations.

The pioneering Habitat for Humanity Loan Purchase Program reaches commitment of $10 million and celebrates 10 years of the successful program.

The Down Payment Assistance Program is expanded to include Rural Development loans.

Conclude two-year HOME initiative for individuals with mental disabilities, funding more than 500 units of supportive housing.

AHFA and the Fannie Mae Foundation form the Homeownership Consortium of Alabama, a housing counseling collaborative focusing on standardization for housing counseling agencies.


Sixteen employees participate in Habitat for Humanity's Jimmy Carter Work Project in Anniston, Ala., building 35 houses with the former U.S. president and thousands of volunteers.

Publish a comprehensive demographic analysis, entitled Sweet Home Alabama: A Census-based snapshot of Selected Housing Conditions.

Step Up mortgage loan rates drop as low as 5.02%.

AHFA's efforts to help resolve Alabama's Wyatt v. Sawyer lawsuit were honored by the National Council of State Housing Agencies and the National Alliance for the Mentally Ill of Alabama. In its 2001 and 2002 multifamily funding cycles, AHFA provided affordable housing for more than 600 individuals with mental health needs.


AHFA, in partnership with USDA Rural Development, launches a re-designed Rural Alabama Mortgage Program to provide low-interest financing in Alabama's rural counties.

Relaunch Mortgage Credit Certificate program.

Begin offering the American Dream Downpayment Initiative (ADDI) to reduce the first mortgage loan’s principal balance by $10,000 for first-time, lower-income home buyers.

Translate single-family program brochures into Spanish and create a Spanish-language section of web site to meet the needs of this growing population.

Make a record one-day purchase of nine mortgage loans from a single Habitat affiliate, making the holidays happier for nine Birmingham families.


Create in-house servicing department to manage a portfolio of AHFA loans formerly held by third-party servicers. Creation of this department, designed to keep AHFA loan servicing within the state, also initially saved 20 jobs for Alabamians.

Hurricane Katrina ravages South Alabama, leading AHFA to offer vacant multifamily units financed with AHFA-administered Housing Credits and HOME funds as temporary housing for displaced individuals.

Simplify Step Up down payment assistance program, removing the cap on liquid assets and instituting a single, statewide income limit of $97,300.


Receive $15.6 million in additional Housing Credits to aid the area's of Alabama hardest hit by Hurricane Katrina, a result of the Gulf Opportunity Zone Act of 2005.

Delegated Examiner option announced for Step Up lenders, giving lenders opportunity to perform in-house underwriting to speed the loan approval process.

Albertville's Anglea Meadows Apartments, financed in part by AHFA-administered Housing Credits, receives the 2006 Community Impact Best Practices "Right Stuff" award for its work providing affordable housing for special needs residents in the Marshall County area.


Moody's Investors Service upgrades AHFA's issuer rating to Aa2.

In-house servicing department celebrates 10,000 loans in its portfolio and receives designation as a Tier 1 Servicer from the U.S. Department of Housing & Urban Development.

Begin partnering with Genworth to offer borrowers no-cost involuntary unemployment insurance and recapture tax protection.

Mark highest annual production ever with more than $300 million in single-family loans reserved and more than $53 million in multifamily program funds allocated, serving a total of 8,200 families.


During its annual HOME/Housing Credit application cycle, AHFA receives a record 92 applications for consideration.

On behalf of the State of Alabama, AHFA is designated to administer the Housing Trust Fund, created by the Housing and Economic Recovery Act of 2008.


Website is honored with a Silver ADDY award by the American Advertising Federation-Montgomery.

Staffers volunteer their time and labor to assist with Alabama's 1,500th Habitat for Humanity house.

Utilizing federal stimulus funds, AHFA allocates $31.9 million in Tax Credit Assistance Program funds and $50.5 million in Tax Credit Exchange Program funds to aid Housing Credit-financed developments that were unable to secure equity commitments in a slow economy.


Surpass 400 loans purchased through the Habitat for Humanity Loan Purchase Program.

ServicingSolutions is created to expand AHFA's loan servicing department to include other originators.

Jordan's Gate, a 48-unit AHFA-financed development in Opelika, is named as a winner of the 16th Annual Charles L. Edson Tax Credit Excellence Awards.

To aid unemployed homeowners, AHFA is approved by U.S. Treasury to administer $162.5 million of the Housing Finance Agency Innovation Fund for the Hardest Hit Housing Markets.


Introduce Hardest Hit Alabama, a foreclosure-prevention program for unemployed and underemployed homeowners across the state.

Tornadoes and straight-line winds bisect Alabama, leading AHFA to offer vacant multifamily units financed with AHFA-administered Housing Credits as temporary housing for displaced individuals.

AHFA's mortgage servicing department, under the trademarked name ServiSolutions®, is approved to act as Master Servicer for the Washington State Housing Finance Commission.


Step Up exceeds $1 billion in total mortgage loans (an estimated 8,600 households) financed after 12 years of operation.


Purchase 500th loan with the $23 million now committed to the Habitat for Humanity Loan Purchase Program, which helps affiliates in their mission to provide no-interest, no-down-payment loans to the state’s lower-income citizens, for the Nixon family in Prattville.

ServiSolutions® becomes Alabama's largest residential mortgage servicer, with the addition of loans from the Missouri Housing Development Commission.


ServiSolutions® begins servicing the loans of a third and fourth housing finance agency — the Mississippi Home Corporation and the North Carolina Housing Finance Agency.

To complement the Step Up program, AHFA introduces the Alabama Home Buyer Initiative, a limited-time offering which provides private mortgage insurance (PMI) at no cost to the borrower.

Total loans serviced by ServiSolutions® exceeds $2 billion.

AHFA, along with the Tuscaloosa VA, celebrates the grand opening of Valor Grove, a $11 million, 50-unit apartment complex for homeless veterans. Financed in part by $537,303 in Housing Credits, Valor Grove is the first of a VA initiative to identify and revitalize unused VA land and buildings in support of the VA’s goal to end veteran homelessness.


ServiSolutions® celebrates its first decade of home loan servicing, exceeds $3 billion in total loan volume, and reports its lowest-ever delinquency ratio of 3.9 percent (March).

The Alabama Home Buyer Initiative ends in March 2015, having allocated funds to more than 1,600 homebuyers and generating approximately $243 million in home sales.

2015 marks the 15th anniversary of Step Up, AHFA’s flagship homeownership program. Step Up made Alabama the first state to provide an innovative mix of financing and down payment assistance to moderate-income homebuyers. Since 2000, Step Up has helped make the dream of homeownership a reality for more than 13,000 Alabama families.

AHFA's Alabama Home Buyer Initiative is honored with a program excellence award at the NCSHA Annual Conference in Nashville. The initiative was the winning entry in the "Homeownership: Empowering New Buyers" category.


Recognized the 25th anniversary of administering the HOME Investment Partnerships Program (HOME) for the State of Alabama.

Designated to administer National Housing Trust Fund allocations for state of Alabama and develops plan for to target extremely low-income homeless and homeless veterans in underserved rural areas

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