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Low-Income Housing Tax Credit (LIHTC)

The Low-Income Housing Tax Credit (LIHTC) is a federal program in the United States that incentives private developers to build and maintain affordable rental housing for low-income families. Under this program, investors receive tax credits for a certain number of years, which reduces their tax liability. In return, the developers must keep rents low and meet specific income requirements for tenants. This program helps address the shortage of affordable housing while encouraging investment in the community, making it a key tool in promoting housing stability for those with limited financial means.

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  • Image for Low-Income Housing Tax Credit (LIHTC)

    The Low-Income Housing Tax Credit (LIHTC) is a federal program in the United States that encourages private developers to build or rehabilitate affordable rental housing for low-income families. It provides tax credits to these developers, which can be sold to investors, generating funds for their projects. In return, developers must set aside a portion of the housing units as affordable for a specified number of years. This program aims to increase the availability of affordable housing, promote economic growth, and improve communities by providing safe and stable living conditions for those in need.