DES MOINES – The Iowa Finance Authority (IFA) today announced the details of its upcoming inaugural sale of Single-Family Social Bonds. These bonds have been specifically designated as supporting projects that generate positive social outcomes.
The Iowa Finance Authority is pleased to offer our first designated Social Bonds, said Iowa Finance Authority Executive Director Debi Durham
“The proceeds of this bond sale will directly generate many positive social and economic outcomes for low to moderate Iowa homebuyers who will be able to achieve their goal of homeownership through an IFA mortgage program,” said Director Durham.
IFA offers eligible homebuyers mortgage and down payment programs through a network of participating lenders. More than 2,900 Iowans used an IFA mortgage program to purchase a home in fiscal year 2020 alone, the most in any single year in the program’s 43-year history. Nearly 90% of these homebuyers also used an IFA down payment assistance program to help make their dream of homeownership a reality.
Subject to market conditions, IFA plans to sell $83.54 million of tax-exempt fixed-rate bonds by negotiated sale on Wednesday, January 20, 2021. IFA also plans to sell $20 million of tax-exempt variable rate bonds by negotiated sale on Wednesday, February 17, 2021.
The bonds will be sold through the IFA’s underwriting syndicate, led by bookrunning senior manager Morgan Stanley, with RBC Capital Markets, BofA Securities and Piper Sandler serving as co-managers on the transaction.
A Preliminary Official Statement has been released and is available at iowabonds.com. IFA’s Single-Family Mortgage bonds are rated Aaa by Moody’s and AAA by S&P.
Iowa Finance Authority
IFA is a self-supporting state agency that administers affordable housing and water quality programs, among others. Since its inception in 1975, IFA has assisted more than 58,000 homebuyers purchase a home and more than 600 Iowa communities upgrade their water infrastructure through the sale of tax-exempt bonds.