Neighborhood Finance Corp. has secured $2 million in new funding to expand access to affordable rental housing through permanent financing, the nonprofit lender announced Monday. The investment represents a step forward in NFC’s continued growth as a commercial lender, a news release said.

Four local financial institutions — Bankers Trust, Great Southern Bank, Iowa State Bank and Two Rivers Bank & Trust — have committed to supporting the expansion through NFC’s Investor Multi-Family Loan Program, which provides permanent financing for multifamily housing developments that enhance neighborhoods and increase affordability.

The $2 million in lending is expected to leverage an additional $6.1 million in public and private investment, helping close funding gaps for critical rental housing projects in Polk County.

“Affordable rental housing is essential to supporting the region’s economic growth and neighborhood vitality,” Stephanie Murphy, executive director of NFC, said in a news release. “Thanks to the support of our banking partners, we can help ensure more families have access to safe, stable, and affordable homes.”

In 2025, NFC celebrates 35 years of investing in Polk County communities. Since its founding, NFC has provided more than $450 million in lending to help over 8,000 homeowners and homebuyers purchase and renovate homes, supporting individual families and long-term neighborhood revitalization.

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