FHLBank San Francisco Boosts Affordable Housing Funding by 50%

The bank will increase its voluntary funding commitment to $45.7 million to expand housing supply and make homebuying more affordable.

Published on Feb. 19, 2026

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The Federal Home Loan Bank of San Francisco (FHLBank San Francisco) announced that its Board of Directors has approved up to $45.7 million in voluntary grant funding for 2026, doubling the bank's voluntary contribution rate from approximately 5% to 10% of prior-year net income. This increased commitment will significantly expand support for affordable housing supply, homeownership opportunities, and community development across its three-state district of Arizona, California, and Nevada.

Why it matters

FHLBank San Francisco's enhanced voluntary funding commitment reflects the board's efforts to address the region's urgent housing and economic challenges. The additional resources will help increase the supply of affordable homes, improve access to homeownership for middle-income buyers, and strengthen community and economic development initiatives.

The details

The bank's voluntary funding for the Affordable Housing Program (AHP) will support the development and preservation of thousands of affordable homes, while additional funding for the Middle-Income Downpayment Assistance program will help aspiring first-time homebuyers. Increased funding for the AHEAD program will also support economic opportunity by creating and preserving jobs, supporting small businesses, and serving communities with limited access to economic opportunity.

  • FHLBank San Francisco's Board of Directors approved the increased voluntary funding commitment on February 17, 2026.
  • The bank's voluntary contributions will be made in 2026, in addition to its statutory contributions that fund the annual Affordable Housing Program.

The players

FHLBank San Francisco

The Federal Home Loan Bank of San Francisco is a member-driven cooperative that provides tools and resources to its member financial institutions to help them support homeownership, finance affordable housing, and drive economic development in Arizona, California, and Nevada.

Winthrop Watson

The interim president and CEO of FHLBank San Francisco, who stated that the enhanced voluntary commitments reflect the board's confidence in the bank's strong financial foundation and its mission to address the region's housing and economic challenges.

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What they’re saying

“These enhanced voluntary commitments reflect the Board's confidence in our strong financial foundation and our mission to help address the region's urgent housing and economic challenges.”

— Winthrop Watson, Interim President and CEO, FHLBank San Francisco (businessinsider.com)

What’s next

The increased voluntary funding will be used to support the development and preservation of affordable housing, provide downpayment assistance to middle-income homebuyers, and strengthen community and economic development initiatives across Arizona, California, and Nevada.

The takeaway

FHLBank San Francisco's decision to double its voluntary funding commitment to $45.7 million demonstrates its commitment to addressing the region's housing affordability and economic challenges. The additional resources will help expand the supply of affordable homes, improve homeownership opportunities, and support community development efforts in the bank's three-state district.