Rural Owner-Occupied Loan Program (ROOL)

What is Rural Owner-Occupied Loan Program (ROOL)?

Rural Owner-Occupied Loan Program (ROOL) is a first mortgage for homebuyers in Statewide, Alaska, administered by Alaska Housing Finance Corporation (AHFC).

• AHFC's Rural Owner-Occupied Loan provides financing to purchase, renovate, or construct (owner-built) owner-occupied housing in small/rural Alaska communities. It offers a reduced rural interest rate on the first $250,000 of the loan, with the excess priced at the rural rate plus 1%. Commercial use is allowed only on single-family homes, limited to 25% of gross floor area.
• Reduced rural interest rate on first $250,000.
• Available for purchase, renovation, or owner-built new construction.
• Stackable rate-reduction options (RELP, energy efficiency, low-income, state veterans preference).
• Funding comes from AHFC corporate/loan fund (non-MRB; not tax-exempt bond).

Do you have to pay it back?

Rural Owner-Occupied Loan Program (ROOL) is a first mortgage and is repaid under the terms set by Alaska Housing Finance Corporation (AHFC).

• Forgiveness and repayment terms are set by the program and can change — confirm them on the official program page before applying.

Who qualifies?

Rural Owner-Occupied Loan Program (ROOL) is open to buyers who will live in the home as their primary residence.

What are the income limits?

Rural Owner-Occupied Loan Program (ROOL) sets its income limit as follows: No income limit on the base Rural Owner-Occupied loan. An income limit applies only if the borrower elects the optional Rural Enhanced Loan Program (RELP) rate reduction (eff. 06/01/2026, by household size 1-8): 100% level 4-person ~$126,050 most areas (Denali $146,200; Skagway $129,200; Ketchikan $127,400; Aleutians West $139,000); 80% level 4-person ~$95,750. RELP reduction applies to first $200,000 of loan.

• The limit applies to total household income, not only the borrower’s.
• Area median income figures are published by HUD and updated annually, so check the current table for the county before relying on a number.

What kind of home can it be used for?

Rural Owner-Occupied Loan Program (ROOL) caps the purchase price as follows: No acquisition-cost limit (governed instead by AHFC loan-amount limits).

• Eligible property types include Single Family, Condo, Common Interest Community Unit, Duplex, 2-4 Unit, and Manufactured.
• New construction is eligible.
• Manufactured homes are eligible.

Is there eligibility for specific groups?

Rural Owner-Occupied Loan Program (ROOL) names veterans among the groups it serves.

• Being named here means the program mentions the group, not that membership alone qualifies an applicant — the rest of the eligibility rules still apply.

Where does it apply?

Rural Owner-Occupied Loan Program (ROOL) serves buyers purchasing in Statewide, Alaska.

• The program targets specific areas: Small communities only: population <=6,500 if NOT connected by road/rail to Anchorage or Fairbanks; OR population <=1,600 if connected by road/rail and at least 50 statute miles outside Anchorage or 25 statute miles outside Fairbanks (excludes the Alaska Marine Highway System). Defined by AS 18.56.600 and 15 AAC 152.990.

How do you apply?

Applications for Rural Owner-Occupied Loan Program (ROOL) go through Alaska Housing Finance Corporation (AHFC), which publishes the current terms and the application steps on its own site.

1. 1

   Contact Alaska Housing Finance Corporation (AHFC) to reserve funds

   Funds are reserved through Lender reserves/locks via AHFC daily-posted rates, and are subject to availability.

2. 2

   Work with a lender who handles the program

   Hey Prescott is not a lender and does not accept applications; this page describes the program so a buyer can take it to a lender or housing counselor.