Church Loans

The Foundation provides low-interest loans to help churches and agencies finance their missional dreams. From building new buildings, to paving parking lots, to upgrading buildings for daycare centers or outreach ministries, the Foundation offers churches a low-hassle, below-market option for funding improvements that can lead to enhanced ministry.

The money loaned comes from investments made in the Foundation's Intermediate Endowment Portfolio. The interest earned provides revenue to the investing churches, boards, and agencies, that use the income to underwrite their ministries. It's a cycle of giving and receiving that augments our congregations' ministries today and for the future.

Is Your Church or Agency Considering a Loan?

In 1992, the Foundation established the Local Church Loan Program designed to provide a friendly and understanding option to church financing. Any United Methodist church or agency within the bounds of the Pacific Northwest, Oregon-Idaho, and Alaska Annual Conferences is eligible for a loan.

What Can We Use the Loan for?

Loans are available for capital improvement projects such as new building construction, additions, and remodeling on both church facilities and parsonages.

How Much Can We Borrow?

Qualified churches can borrow up to 70% of the total project cost.

What Are the Terms?

Loan amortization depends on several factors including the size of the loan and the church's/agency's ability to service the debt. Currently, the longest term available is twelve years.

Interest Rates?

Rates are fixed for four years and then reviewed each following fourth year. Adjustments, both up and down, can be made upon each four-year anniversary of the loan.

What Are the Fees?

With the exception of short-term construction financing, there are no loan fees.

Are Loans Secured?

Yes. A first mortgage position is required on all loans.

How Do We Apply?

Click on one of the following links to download our loan form. Then please fill it out completely and return via email/mail using the email/street address below. Thank you.

View Loan Guidelines | Loan Application