Neighborhood Finance

What Neighborhood Finance does

Neighborhood Finance Corporation (NFC) is a Des Moines, Iowa-based Community Development Financial Institution (CDFI) and Chartered Member of NeighborWorks America, founded in 1990 to provide mortgage lending and community development financing in support of neighborhood revitalization. The company operates two physical offices — its Des Moines headquarters at 4908 Franklin Avenue and a Cedar Rapids office at 1800 First Ave NE — and holds NMLS licenses (#8943 and #1757818) for mortgage origination in those markets. NFC's core offering is the NFC Advantage Loan Programs platform, which bundles primary mortgages (home purchase, refinance, home improvement, exterior repair, energy advantage) with forgivable loans of up to $15,000 for repairs and Neighborhood Reinvest deferred loans of up to $15,000, often paired with subsidies from the City of Des Moines, City of Cedar Rapids, Polk County, and suburban cities. The company also operates a Commercial Lending division that provides 0% construction loans and multifamily permanent financing for LIHTC projects, and a wholly-owned subsidiary, NFC Properties, LLC, that acquires, renovates, and builds homes for sale. NFC is governed as a private, nonprofit-affiliated CDFI with no public listing and no disclosed institutional or private equity ownership; its capital base was augmented by a $21.75 million SEC exempt securities offering in December 2022 and a $2,478,839 U.S. Treasury CDFI Fund award in April 2023.

NFC's business model combines direct retail mortgage origination with project-based commercial lending, distributing its products through in-office applications, an online application portal, a realtor referral network, and community partner referrals. Customer segments are threefold: individual homebuyers in NFC's defined lending areas within Cedar Rapids and Des Moines, housing developers using NFC's 0% construction financing, and community development organizations and nonprofits (e.g., Matthew 25, HOME Inc., Mods Enterprise, Abode Construction, Des Moines Film) leveraging bridge and permanent financing for affordable housing and neighborhood projects. Revenue mechanics are typical of a CDFI direct lender — net interest income on originated and serviced loans, origination and servicing fees, and modest ancillary fees such as subordination fees ($100 for one mortgage, $150 for two) on refinanced NFC loans. The technology stack is functional rather than differentiated: a custom website and loan application portal, Sendinblue for newsletter and email marketing, and no mobile app, public API, or disclosed AI/ML capabilities. Marketing is community-focused, leveraging Facebook, Instagram, X, YouTube, and LinkedIn channels for each office, separate general and realtor-targeted newsletters, the Journey to Homeownership education program, and yard-sign/branding partnerships with cooperating realtors.

Name

Neighborhood Finance

Legal name

Neighborhood Finance Corporation

Website

https://neighborhoodfinance.org

Company type

Private

Founded year

1990

Operating status

Operating

Headcount range

11–50 employees

Short description

Neighborhood Finance Corporation is an Iowa-based Community Development Financial Institution providing mortgage lending, 0% construction financing, and multifamily lending in Des Moines and Cedar Rapids to support neighborhood revitalization and affordable homeownership.

Ownership category

akta.pro rank

Product category

Community Development Mortgage Lending

SIC

Mortgage Bankers & Loan Correspondents (6162)

akta.pro primary industry

Community Development & Neighborhood Revitalization (CDBG, Place-Based Initiatives) (BPAIANAE)

Keywords

• Community development lending
• Affordable housing finance
• Mortgage lending services
• Construction financing
• Down payment assistance

Headquarters

HQ city

Des Moines

HQ country

United States

HQ region

North America

Offices2 records

Markets served

GTM type

B2B and B2C

Offering type

Services

Cost components

Personnel, Operations, Technology or R&D, Marketing or Sales

Revenue model

1. Mortgage Lending: Provides home purchase loans, refinance loans, and home improvement loans to qualified borrowers in Iowa lending areas. Revenue generated through loan origination and servicing.
2. Construction Financing: Offers 0% construction loans for developers building new single-family homes and multifamily properties. Provides bridge financing for community development projects.
3. Commercial Real Estate Lending: Permanent financing for multifamily LIHTC projects and commercial development in Cedar Rapids and Des Moines.
4. Securities Offering: SEC exempt securities offering to raise capital for operations and lending activities.

Pricing tiers

Go-to-market motion1 record

Distribution channels3 records

Marketing channels5 records

Core offering

Neighborhood Finance Corporation (NFC) is a Community Development Financial Institution (CDFI) providing affordable mortgage lending and community development financing in Iowa. It offers home purchase, refinance, and home improvement loans to individual homebuyers, along with 0% construction loans, multifamily lending, and real estate development programs for housing developers in the Des Moines and Cedar Rapids areas.

Product overview

Neighborhood Finance Corporation (NFC) operates as a Community Development Financial Institution (CDFI) and chartered member of NeighborWorks America, offering a comprehensive suite of mortgage lending products and community development services primarily in Des Moines and Cedar Rapids, Iowa. The core offering is the NFC Advantage Loan Programs platform, which combines primary mortgage loans (Home Purchase, Refinance, Home Improvement, Exterior Repair, Energy Advantage) with supplementary financial assistance including forgivable loans up to $15,000 for repairs and Neighborhood Reinvest deferred loans up to $15,000. The company also operates a Commercial Lending division offering 0% Construction Loans and Multifamily Lending for affordable housing development. NFC Properties, LLC serves as a subsidiary for real estate development, purchasing, renovating, and constructing homes for sale. Consumer-facing digital tools include an online application portal and newsletter subscription via Sendinblue.

Differentiator

Problem solved

Functional benefit

Quantifiable outcome

• Up to $15,000 in forgivable funds for repairs and improvements
• +2 more outcomes

Named customers5 records

Segments3 records

Ideal customer profiles2 records

Technology focussed No

API detail

Has API

No

API docs

API detail

Core technology

AI maturity

App detail

Integration1 record

Partnerships

Eight partnerships are on record, tiered core and minor.

• NeighborWorks AmericacoreStrategic or Co-development PartnerNFC is a Chartered Member of NeighborWorks America, a national organization that creates opportunities for people to live in affordable homes, improve their lives and strengthen their communities. This affiliation provides credibility, network access, and program support for community development lending.
• Area Financial InstitutionscoreChannel Partner/ Reseller/ DistributorPartnership with local banks and credit unions to co-fund loans and provide additional financing options. These institutions participate in subsidy programs and refer customers to NFC.
• Neighborhood Associations of Cedar Rapids and Des MoinesminorStrategic or Co-development PartnerCommunity-based partners that help identify eligible properties and promote homeownership opportunities in specific neighborhoods.
• Abode ConstructioncoreStrategic or Co-development PartnerNFC partnered with Abode Construction in partnership with the City of Cedar Rapids ROOTs Program to build 7 townhomes (14 total units) for new homeowners in the Kirkwood Village 2nd Addition development.
• HOME, Inc.coreStrategic or Co-development PartnerPartnership with HOME, Inc. (Des Moines nonprofit) on brand new construction affordable housing projects in Des Moines.
• Des Moines FilmcoreStrategic or Co-development PartnerNFC provided bridge financing to Des Moines Film (DMF) to renovate 6 affordable apartments in the Drake Neighborhood. DMF received a Community Development Block Grant (CDBG) but needed short-term financing until grant disbursement.
• Matthew 25minorStrategic or Co-development PartnerCedar Rapids nonprofit that built energy-efficient single-family homes using NFC's 0% construction loan program. Homes are designed for first-time homebuyers with sustainability features.
• Mods EnterpriseminorStrategic or Co-development PartnerNew construction on previously vacant lots in Cedar Rapids using NFC 0% construction loan financing. Completed homes are listed for sale.

Scale indicators6 records

Recent moves6 records

Expansion highlights5 records

Direct peers

• Community Housing Capital: National CDFI based in Atlanta that partners directly with NFC on construction financing for the 6th Avenue redevelopment. Operates the same CDFI lending model, providing construction and permanent financing for affordable housing developers, making it a directly comparable peer.
• IFF: Regional CDFI serving the Midwest (headquartered in Chicago) that provides real estate financing, including construction and permanent loans for nonprofits and developers of affordable housing and community facilities. Closest geographic and product overlap with NFC among comparably-sized CDFIs.
• Reinvestment Fund: Mid-Atlantic-based CDFI providing financing for affordable housing, community development, and healthy food access. Comparable in deploying public/private capital alongside local government partners to support neighborhood revitalization projects.
• Low Income Investment Fund (LIIF): National CDFI providing financing for affordable housing, early care and education, and community facilities. Shares NFC's combination of construction/permanent lending, gap financing, and partnership with municipalities and CDFI funds.

Broad incumbents

• LISC (Local Initiatives Support Corporation): One of the largest national CDFIs, providing loans, grants, and equity for affordable housing and community development across the U.S. Much larger scale than NFC, but follows the same CDFI-plus-municipal-partnership playbook in Midwestern cities.
• Enterprise Community Partners: National CDFI and affordable housing organization offering multifamily lending, single-family financing, and development capital. Comparable mission and lending product set, though operating at significantly greater scale than NFC.

Regional players

• Craft3: Regional CDFI serving Oregon, Washington, and Idaho with home loans, business loans, and real estate financing targeted at underserved communities. Similar regional CDFI model with mortgage and community development lending; geographic non-overlap makes it a regional rather than direct peer.
• Fahe: Appalachian regional CDFI network providing affordable housing financing across multiple states. Closely comparable as a member-based, multi-state CDFI with construction and mortgage lending, but does not operate in NFC's Iowa footprint.

Others

• NeighborWorks America: National umbrella network of which NFC is a Chartered Member. Not a direct lender, but the trade and capacity-building organization that supports nearly 250 member CDFIs and housing counseling organizations — directly relevant ecosystem affiliation.
• Opportunity Finance Network (OFN): National membership association and intermediary for CDFIs, including training, capital aggregation, and policy advocacy. Comparable CDFI ecosystem context but operates as a network/intermediary rather than a direct lender.

Market position

Strengths5 records

Weaknesses4 records

Competitive moat4 records

Key risks5 records

Key highlights7 records

Customer concentration

• Xx.com/nfcdm
• YouTubeyoutube.com/@neighborhoodfinancecorporation
• Facebookfacebook.com/NeighborhoodFinanceCorporation
• LinkedInlinkedin.com/company/neighborhood-finance-corporation-nfc/?viewAsMember=true
• Instagraminstagram.com/nfcdesmoines

Compliance3 records

Revenue estimate

Valuation estimate

Number of profiles

Profiles4 records

Subsidiaries1 record

Funding overview

Funding rounds2 records

Investors1 record

Funding detail is available on the Subscription and Enterprise plan.Contact sales →

M&A

Investments

M&A and investment is available on the Subscription and Enterprise plan.Contact sales →

Frequently asked questions about Neighborhood Finance