The Low Income Housing Tax Credit (LIHTC - often pronounced "lie-tech", Housing Credit) is a dollar-for-dollar tax credit in the United States for affordable housing investments. It was created under the Tax Reform Act of 1986 (TRA86) that gives incentives for the utilization of private equity in the development of affordable housing aimed at low-income Americans. LIHTC accounts for the majority (approximately 90%) of all affordable rental housing created in the United States today. As the maximum rent that can be charged is based upon the Area Median Income ("AMI"), LIHTC housing remains unaffordable to many low-income (<30% AMI) renters. The credits are also commonly called Section 42 credits in reference to the applicable section of the Internal Revenue Code. The tax credits are more attractive than tax deductions as the credits provide a dollar-for-dollar reduction in a taxpayer's federal income tax, whereas a tax deduction only provides a reduction in taxable income. The "passive loss rules" and similar tax changes made by TRA86 greatly reduced the value of tax credits and deductions to individual taxpayers. As a result, almost all investors in LIHTC projects are corporations.
To see Novogradac's library of LIHTC webinar recordings and on-demand courses go to https://training.novoco.com/catalog.
A brief overview of how the low-income housing tax credit (LIHTC) provides quality, affordable rental housing for communities and tax relief for its investors.
Do you have questions about the topics presented in this video? Submit this form (https://www.novoco.com/podcast-topic-suggestion-form) and Michael Novogradac, CPA, may answer your question on his weekly Novogradac Tax Credit Tuesday podcast, available from https://www.novoco.com/podcast or iTunes.
published: 01 Apr 2010
How Do LIHTC Tax Credits Work? | Low Income Housing Tax Credit
Preferred Compliance Solutions presents a quick overview on how Low Income Housing Tax Credits work.
Learn more at: http://www.preferredcompliance.com/
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Don't forget to SUBSCRIBE to see the best Compliance tips!
Find us on Facebook: https://www.facebook.com/pages/Preferred-Compliance-Solutions/150448514996065
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#LIHTC #affordablehousing
published: 05 Oct 2021
Simple Overview of LIHTC (Low Income Housing Tax Credit)
In this video, we provide a simple overview of the Low-Income Housing Tax Credit (LIHTC) program, a federal initiative that helps developers and investors build affordable rental housing for low-income families. The program offers tax credits as an incentive to offset construction or rehabilitation costs. You'll learn how the credits are allocated by state agencies and how they work to ensure affordability over time. We also break down the calculation process, explaining the difference between the 9% and 4% tax credits and how they are applied to a project's qualified basis. This video will give you a clear understanding of how LIHTC promotes affordable housing development while offering significant financial benefits to developers.
Go Here To Learn More About Section 42 LIHTC Program:
https://affordablehousingheroes.com/section-42-low-income-tax-credit/?utm_source=YouTube&utm_medium=YTDesc&utm_campaign=LIHTC
Download Our Free Guide Here:
https://affordablehousingheroes.com/guide/?utm_source=YouTube&utm_medium=YTDesc&utm_campaign=LIHTC
Ask a Question In Our Forum:
https://family.affordablehousingheroes.com/?utm_source=YouTube&utm_medium=YTDesc&utm_campaign=LIHTC
The Section 42 program, also known as the Low-Income Housing Tax Credit (LIHTC) program, is a type of income-based housing program described by HUD as "the most important resource for creating affordable housing in the United States today".
Contrary to Section 8, the Section 42 program is not a government-subsidized rental program.
Section 42 permits deve...
published: 25 May 2023
How Are LIHTC Rents Set—And Why So Many Renters Can't Afford Them
How are rents set in Low-Income Housing Tax Credit developments? How do rents in this affordable housing still end up out of reach for residents?
For more details on the Low-Income Housing Tax Credit program, see our FAQ, LIHTC for Regular People (https://shelterforce.org/2023/11/30/lihtc-for-regular-people/), and our series LIHTC: The Good, the Bad, and the Very Complicated (https://shelterforce.org/series/lihtc-the-good-the-bad-and-the-very-complicated/).
published: 12 Mar 2024
Inside a LIHTC Investment with Ben Stevens - S2E5
Welcome to the A.CRE Audio Series! On this episode, I am here once again with the creators of the Adventures in CRE website, Spencer Burton and Michael Belasco. Today we are joined by Ben Stevens to talk about the birth of a LIHTC building.
00:00 - Introduction
02:24 - Discussion on Affordable Housing: Definitions, Concepts, and Economic Questions
03:48 - Government Involvement and History of Public Housing in the US
05:21 - Quality vs. Affordability Debate and Evolution of Public Housing
07:50 - Design and Operational Challenges in Public Housing; Changes in the 1960s
10:02 - Challenges in Modern Public Housing and Shift to Private Solutions
11:45 - Role of Large Developers and Introduction to Low Income Housing Tax Credits (LIHTC)
13:10 - Financing Structure and Development Process of ...
published: 02 Mar 2020
Low Income Housing Tax Credit (LIHTC) in 3 minutes
A simple story that explains how LIHTC works. Will nonprofit developer Scooter be able to revitalize the abandoned school down the street?
CEDAM members can download a copy of this video here: http://cedam.info/resources/videos/
published: 18 Feb 2014
Low Income Housing Tax Credit (LIHTC) Basics
A brief overview of the LIHTC process, things to look out for, and how to get started.
www.bedfordlending.com
Presented by:
Kyle Jean
[email protected]
603-647-4646
published: 31 May 2022
Black Developer on how LIHTC helps with development costs 🏢 @blackrealestatedialogue
published: 03 Jun 2023
Low Income Housing Tax Credits (LIHTC) Compliance & Management
The low-income housing tax credit (LIHTC) program is one of the federal government’s primary policy tools for encouraging the development and rehabilitation of affordable rental housing. While the LIHTC Program can seem complex; the program is being effectively utilized by numerous housing and community development agencies to increase affordable housing options available in their local communities. This webinar explains the rules and regulations required to establish and maintain compliance at an LIHTC project.
Power Point Presentation
http://ruralhome.org/storage/documents/training_materials/webinars/lihtc-compliance-ppt.pdf
Resources:
1. Low Income Housing Tax Credit Summary (.pdf)
https://www.hudexchange.info/resources/documents/Low-Income-Housing-Tax-Credit-Summary.pdf
2. Low Inco...
To see Novogradac's library of LIHTC webinar recordings and on-demand courses go to https://training.novoco.com/catalog.
A brief overview of how the low-incom...
To see Novogradac's library of LIHTC webinar recordings and on-demand courses go to https://training.novoco.com/catalog.
A brief overview of how the low-income housing tax credit (LIHTC) provides quality, affordable rental housing for communities and tax relief for its investors.
Do you have questions about the topics presented in this video? Submit this form (https://www.novoco.com/podcast-topic-suggestion-form) and Michael Novogradac, CPA, may answer your question on his weekly Novogradac Tax Credit Tuesday podcast, available from https://www.novoco.com/podcast or iTunes.
To see Novogradac's library of LIHTC webinar recordings and on-demand courses go to https://training.novoco.com/catalog.
A brief overview of how the low-income housing tax credit (LIHTC) provides quality, affordable rental housing for communities and tax relief for its investors.
Do you have questions about the topics presented in this video? Submit this form (https://www.novoco.com/podcast-topic-suggestion-form) and Michael Novogradac, CPA, may answer your question on his weekly Novogradac Tax Credit Tuesday podcast, available from https://www.novoco.com/podcast or iTunes.
Preferred Compliance Solutions presents a quick overview on how Low Income Housing Tax Credits work.
Learn more at: http://www.preferredcompliance.com/
-------...
Preferred Compliance Solutions presents a quick overview on how Low Income Housing Tax Credits work.
Learn more at: http://www.preferredcompliance.com/
----------------------------------------------------------------------------------------------------------------------------------------------------------------
Don't forget to SUBSCRIBE to see the best Compliance tips!
Find us on Facebook: https://www.facebook.com/pages/Preferred-Compliance-Solutions/150448514996065
Find us on twitter: https://twitter.com/preferredcompli
#LIHTC #affordablehousing
Preferred Compliance Solutions presents a quick overview on how Low Income Housing Tax Credits work.
Learn more at: http://www.preferredcompliance.com/
----------------------------------------------------------------------------------------------------------------------------------------------------------------
Don't forget to SUBSCRIBE to see the best Compliance tips!
Find us on Facebook: https://www.facebook.com/pages/Preferred-Compliance-Solutions/150448514996065
Find us on twitter: https://twitter.com/preferredcompli
#LIHTC #affordablehousing
In this video, we provide a simple overview of the Low-Income Housing Tax Credit (LIHTC) program, a federal initiative that helps developers and investors build...
In this video, we provide a simple overview of the Low-Income Housing Tax Credit (LIHTC) program, a federal initiative that helps developers and investors build affordable rental housing for low-income families. The program offers tax credits as an incentive to offset construction or rehabilitation costs. You'll learn how the credits are allocated by state agencies and how they work to ensure affordability over time. We also break down the calculation process, explaining the difference between the 9% and 4% tax credits and how they are applied to a project's qualified basis. This video will give you a clear understanding of how LIHTC promotes affordable housing development while offering significant financial benefits to developers.
In this video, we provide a simple overview of the Low-Income Housing Tax Credit (LIHTC) program, a federal initiative that helps developers and investors build affordable rental housing for low-income families. The program offers tax credits as an incentive to offset construction or rehabilitation costs. You'll learn how the credits are allocated by state agencies and how they work to ensure affordability over time. We also break down the calculation process, explaining the difference between the 9% and 4% tax credits and how they are applied to a project's qualified basis. This video will give you a clear understanding of how LIHTC promotes affordable housing development while offering significant financial benefits to developers.
Go Here To Learn More About Section 42 LIHTC Program:
https://affordablehousingheroes.com/section-42-low-income-tax-credit/?utm_source=YouTube&utm_medium=YTDesc...
Go Here To Learn More About Section 42 LIHTC Program:
https://affordablehousingheroes.com/section-42-low-income-tax-credit/?utm_source=YouTube&utm_medium=YTDesc&utm_campaign=LIHTC
Download Our Free Guide Here:
https://affordablehousingheroes.com/guide/?utm_source=YouTube&utm_medium=YTDesc&utm_campaign=LIHTC
Ask a Question In Our Forum:
https://family.affordablehousingheroes.com/?utm_source=YouTube&utm_medium=YTDesc&utm_campaign=LIHTC
The Section 42 program, also known as the Low-Income Housing Tax Credit (LIHTC) program, is a type of income-based housing program described by HUD as "the most important resource for creating affordable housing in the United States today".
Contrary to Section 8, the Section 42 program is not a government-subsidized rental program.
Section 42 permits developers to receive a tax credit if they build affordable housing into their projects or rehabilitate housing in properties they purchase and maintain these properties in safe and decent conditions for people with low incomes.
A property under Section 42 must have a certain percentage of apartments available, specifically for low-income tenants whose income doesn’t exceed 60% of the area’s median income.
Section 42 has very high maintenance standards that include regular checks to verify if everything is sanitary and in order, checking if appliances are working, verifying that all carbon monoxide and fire alarms are working properly, examining fire extinguishers, and verifying the general safety of the property.
Properties that fail these inspections are at risk of losing their tax credit.
We are not affiliate with any government agencies. All information is for educational purposes only.
Go Here To Learn More About Section 42 LIHTC Program:
https://affordablehousingheroes.com/section-42-low-income-tax-credit/?utm_source=YouTube&utm_medium=YTDesc&utm_campaign=LIHTC
Download Our Free Guide Here:
https://affordablehousingheroes.com/guide/?utm_source=YouTube&utm_medium=YTDesc&utm_campaign=LIHTC
Ask a Question In Our Forum:
https://family.affordablehousingheroes.com/?utm_source=YouTube&utm_medium=YTDesc&utm_campaign=LIHTC
The Section 42 program, also known as the Low-Income Housing Tax Credit (LIHTC) program, is a type of income-based housing program described by HUD as "the most important resource for creating affordable housing in the United States today".
Contrary to Section 8, the Section 42 program is not a government-subsidized rental program.
Section 42 permits developers to receive a tax credit if they build affordable housing into their projects or rehabilitate housing in properties they purchase and maintain these properties in safe and decent conditions for people with low incomes.
A property under Section 42 must have a certain percentage of apartments available, specifically for low-income tenants whose income doesn’t exceed 60% of the area’s median income.
Section 42 has very high maintenance standards that include regular checks to verify if everything is sanitary and in order, checking if appliances are working, verifying that all carbon monoxide and fire alarms are working properly, examining fire extinguishers, and verifying the general safety of the property.
Properties that fail these inspections are at risk of losing their tax credit.
We are not affiliate with any government agencies. All information is for educational purposes only.
How are rents set in Low-Income Housing Tax Credit developments? How do rents in this affordable housing still end up out of reach for residents?
For more det...
How are rents set in Low-Income Housing Tax Credit developments? How do rents in this affordable housing still end up out of reach for residents?
For more details on the Low-Income Housing Tax Credit program, see our FAQ, LIHTC for Regular People (https://shelterforce.org/2023/11/30/lihtc-for-regular-people/), and our series LIHTC: The Good, the Bad, and the Very Complicated (https://shelterforce.org/series/lihtc-the-good-the-bad-and-the-very-complicated/).
How are rents set in Low-Income Housing Tax Credit developments? How do rents in this affordable housing still end up out of reach for residents?
For more details on the Low-Income Housing Tax Credit program, see our FAQ, LIHTC for Regular People (https://shelterforce.org/2023/11/30/lihtc-for-regular-people/), and our series LIHTC: The Good, the Bad, and the Very Complicated (https://shelterforce.org/series/lihtc-the-good-the-bad-and-the-very-complicated/).
Welcome to the A.CRE Audio Series! On this episode, I am here once again with the creators of the Adventures in CRE website, Spencer Burton and Michael Belasco....
Welcome to the A.CRE Audio Series! On this episode, I am here once again with the creators of the Adventures in CRE website, Spencer Burton and Michael Belasco. Today we are joined by Ben Stevens to talk about the birth of a LIHTC building.
00:00 - Introduction
02:24 - Discussion on Affordable Housing: Definitions, Concepts, and Economic Questions
03:48 - Government Involvement and History of Public Housing in the US
05:21 - Quality vs. Affordability Debate and Evolution of Public Housing
07:50 - Design and Operational Challenges in Public Housing; Changes in the 1960s
10:02 - Challenges in Modern Public Housing and Shift to Private Solutions
11:45 - Role of Large Developers and Introduction to Low Income Housing Tax Credits (LIHTC)
13:10 - Financing Structure and Development Process of LIHTC Projects
16:30 - Importance of Qualifying Allocation Plan (QAP) in LIHTC and Site Selection
18:50 - Eligible Costs, Calculations, and Role of Financial Institutions in LIHTC
20:51 - Timing and Process of Buying Tax Credits; Installment Receipts During Construction
23:44 - Debt Sizing, Service Coverage, and Gap Funding in Affordable Housing Projects
27:01 - Financial Modeling Challenges and Diverse Funding Sources in Affordable Housing
30:00 - Project Size Limitations and Differentiating Between 9% and 4% Tax Credits
33:10 - Combining Tax Credits for Financing and Investor Benefits in Affordable Housing
36:04 - Evaluating Affordable Housing as a Business Venture and Invitation for Further Discussion
Ben Stevens is a project manager for a real estate development firm in Chicago. He holds an MBA in Real Estate and Urban Land Economics from the University of Wisconsin at Madison. On the side, he hosts The Skyline Forum. He is also the author of the new book, The Birth of a Building. Ben lives in Chicago with his wife and two children.
Today we are starting a two-part episode with Ben. We are specifically talk about LIHTC-supported investments. We also jump into a variety of other topics based on Ben’s knowledge, including lessons he has learned and how allocation is set up.
View show notes for this episode: https://www.adventuresincre.com/audioseries-s2e5/
Watch other episodes: https://www.adventuresincre.com/audioseries/
Learn more about A.CRE: https://www.adventuresincre.com/
SUBSCRIBE: https://www.youtube.com/user/sburtonhome?sub_confirmation=1
Welcome to the A.CRE Audio Series! On this episode, I am here once again with the creators of the Adventures in CRE website, Spencer Burton and Michael Belasco. Today we are joined by Ben Stevens to talk about the birth of a LIHTC building.
00:00 - Introduction
02:24 - Discussion on Affordable Housing: Definitions, Concepts, and Economic Questions
03:48 - Government Involvement and History of Public Housing in the US
05:21 - Quality vs. Affordability Debate and Evolution of Public Housing
07:50 - Design and Operational Challenges in Public Housing; Changes in the 1960s
10:02 - Challenges in Modern Public Housing and Shift to Private Solutions
11:45 - Role of Large Developers and Introduction to Low Income Housing Tax Credits (LIHTC)
13:10 - Financing Structure and Development Process of LIHTC Projects
16:30 - Importance of Qualifying Allocation Plan (QAP) in LIHTC and Site Selection
18:50 - Eligible Costs, Calculations, and Role of Financial Institutions in LIHTC
20:51 - Timing and Process of Buying Tax Credits; Installment Receipts During Construction
23:44 - Debt Sizing, Service Coverage, and Gap Funding in Affordable Housing Projects
27:01 - Financial Modeling Challenges and Diverse Funding Sources in Affordable Housing
30:00 - Project Size Limitations and Differentiating Between 9% and 4% Tax Credits
33:10 - Combining Tax Credits for Financing and Investor Benefits in Affordable Housing
36:04 - Evaluating Affordable Housing as a Business Venture and Invitation for Further Discussion
Ben Stevens is a project manager for a real estate development firm in Chicago. He holds an MBA in Real Estate and Urban Land Economics from the University of Wisconsin at Madison. On the side, he hosts The Skyline Forum. He is also the author of the new book, The Birth of a Building. Ben lives in Chicago with his wife and two children.
Today we are starting a two-part episode with Ben. We are specifically talk about LIHTC-supported investments. We also jump into a variety of other topics based on Ben’s knowledge, including lessons he has learned and how allocation is set up.
View show notes for this episode: https://www.adventuresincre.com/audioseries-s2e5/
Watch other episodes: https://www.adventuresincre.com/audioseries/
Learn more about A.CRE: https://www.adventuresincre.com/
SUBSCRIBE: https://www.youtube.com/user/sburtonhome?sub_confirmation=1
A simple story that explains how LIHTC works. Will nonprofit developer Scooter be able to revitalize the abandoned school down the street?
CEDAM members can do...
A simple story that explains how LIHTC works. Will nonprofit developer Scooter be able to revitalize the abandoned school down the street?
CEDAM members can download a copy of this video here: http://cedam.info/resources/videos/
A simple story that explains how LIHTC works. Will nonprofit developer Scooter be able to revitalize the abandoned school down the street?
CEDAM members can download a copy of this video here: http://cedam.info/resources/videos/
A brief overview of the LIHTC process, things to look out for, and how to get started.
www.bedfordlending.com
Presented by:
Kyle Jean
[email protected]...
A brief overview of the LIHTC process, things to look out for, and how to get started.
www.bedfordlending.com
Presented by:
Kyle Jean
[email protected]
603-647-4646
A brief overview of the LIHTC process, things to look out for, and how to get started.
www.bedfordlending.com
Presented by:
Kyle Jean
[email protected]
603-647-4646
The low-income housing tax credit (LIHTC) program is one of the federal government’s primary policy tools for encouraging the development and rehabilitation of ...
The low-income housing tax credit (LIHTC) program is one of the federal government’s primary policy tools for encouraging the development and rehabilitation of affordable rental housing. While the LIHTC Program can seem complex; the program is being effectively utilized by numerous housing and community development agencies to increase affordable housing options available in their local communities. This webinar explains the rules and regulations required to establish and maintain compliance at an LIHTC project.
Power Point Presentation
http://ruralhome.org/storage/documents/training_materials/webinars/lihtc-compliance-ppt.pdf
Resources:
1. Low Income Housing Tax Credit Summary (.pdf)
https://www.hudexchange.info/resources/documents/Low-Income-Housing-Tax-Credit-Summary.pdf
2. Low Income Housing Tax Credit Fair Housing
http://portal.hud.gov/hudportal/HUD?src=/program_offices/fair_housing_equal_opp/lihtcmou
3. Liz Bramlet Consulting LLC
http://www.lizbramletconsulting.com/
Funded by: U.S. Department of Housing and Urban Development and U.S. Department of Agriculture - Rural Development
The low-income housing tax credit (LIHTC) program is one of the federal government’s primary policy tools for encouraging the development and rehabilitation of affordable rental housing. While the LIHTC Program can seem complex; the program is being effectively utilized by numerous housing and community development agencies to increase affordable housing options available in their local communities. This webinar explains the rules and regulations required to establish and maintain compliance at an LIHTC project.
Power Point Presentation
http://ruralhome.org/storage/documents/training_materials/webinars/lihtc-compliance-ppt.pdf
Resources:
1. Low Income Housing Tax Credit Summary (.pdf)
https://www.hudexchange.info/resources/documents/Low-Income-Housing-Tax-Credit-Summary.pdf
2. Low Income Housing Tax Credit Fair Housing
http://portal.hud.gov/hudportal/HUD?src=/program_offices/fair_housing_equal_opp/lihtcmou
3. Liz Bramlet Consulting LLC
http://www.lizbramletconsulting.com/
Funded by: U.S. Department of Housing and Urban Development and U.S. Department of Agriculture - Rural Development
To see Novogradac's library of LIHTC webinar recordings and on-demand courses go to https://training.novoco.com/catalog.
A brief overview of how the low-income housing tax credit (LIHTC) provides quality, affordable rental housing for communities and tax relief for its investors.
Do you have questions about the topics presented in this video? Submit this form (https://www.novoco.com/podcast-topic-suggestion-form) and Michael Novogradac, CPA, may answer your question on his weekly Novogradac Tax Credit Tuesday podcast, available from https://www.novoco.com/podcast or iTunes.
Preferred Compliance Solutions presents a quick overview on how Low Income Housing Tax Credits work.
Learn more at: http://www.preferredcompliance.com/
----------------------------------------------------------------------------------------------------------------------------------------------------------------
Don't forget to SUBSCRIBE to see the best Compliance tips!
Find us on Facebook: https://www.facebook.com/pages/Preferred-Compliance-Solutions/150448514996065
Find us on twitter: https://twitter.com/preferredcompli
#LIHTC #affordablehousing
In this video, we provide a simple overview of the Low-Income Housing Tax Credit (LIHTC) program, a federal initiative that helps developers and investors build affordable rental housing for low-income families. The program offers tax credits as an incentive to offset construction or rehabilitation costs. You'll learn how the credits are allocated by state agencies and how they work to ensure affordability over time. We also break down the calculation process, explaining the difference between the 9% and 4% tax credits and how they are applied to a project's qualified basis. This video will give you a clear understanding of how LIHTC promotes affordable housing development while offering significant financial benefits to developers.
Go Here To Learn More About Section 42 LIHTC Program:
https://affordablehousingheroes.com/section-42-low-income-tax-credit/?utm_source=YouTube&utm_medium=YTDesc&utm_campaign=LIHTC
Download Our Free Guide Here:
https://affordablehousingheroes.com/guide/?utm_source=YouTube&utm_medium=YTDesc&utm_campaign=LIHTC
Ask a Question In Our Forum:
https://family.affordablehousingheroes.com/?utm_source=YouTube&utm_medium=YTDesc&utm_campaign=LIHTC
The Section 42 program, also known as the Low-Income Housing Tax Credit (LIHTC) program, is a type of income-based housing program described by HUD as "the most important resource for creating affordable housing in the United States today".
Contrary to Section 8, the Section 42 program is not a government-subsidized rental program.
Section 42 permits developers to receive a tax credit if they build affordable housing into their projects or rehabilitate housing in properties they purchase and maintain these properties in safe and decent conditions for people with low incomes.
A property under Section 42 must have a certain percentage of apartments available, specifically for low-income tenants whose income doesn’t exceed 60% of the area’s median income.
Section 42 has very high maintenance standards that include regular checks to verify if everything is sanitary and in order, checking if appliances are working, verifying that all carbon monoxide and fire alarms are working properly, examining fire extinguishers, and verifying the general safety of the property.
Properties that fail these inspections are at risk of losing their tax credit.
We are not affiliate with any government agencies. All information is for educational purposes only.
How are rents set in Low-Income Housing Tax Credit developments? How do rents in this affordable housing still end up out of reach for residents?
For more details on the Low-Income Housing Tax Credit program, see our FAQ, LIHTC for Regular People (https://shelterforce.org/2023/11/30/lihtc-for-regular-people/), and our series LIHTC: The Good, the Bad, and the Very Complicated (https://shelterforce.org/series/lihtc-the-good-the-bad-and-the-very-complicated/).
Welcome to the A.CRE Audio Series! On this episode, I am here once again with the creators of the Adventures in CRE website, Spencer Burton and Michael Belasco. Today we are joined by Ben Stevens to talk about the birth of a LIHTC building.
00:00 - Introduction
02:24 - Discussion on Affordable Housing: Definitions, Concepts, and Economic Questions
03:48 - Government Involvement and History of Public Housing in the US
05:21 - Quality vs. Affordability Debate and Evolution of Public Housing
07:50 - Design and Operational Challenges in Public Housing; Changes in the 1960s
10:02 - Challenges in Modern Public Housing and Shift to Private Solutions
11:45 - Role of Large Developers and Introduction to Low Income Housing Tax Credits (LIHTC)
13:10 - Financing Structure and Development Process of LIHTC Projects
16:30 - Importance of Qualifying Allocation Plan (QAP) in LIHTC and Site Selection
18:50 - Eligible Costs, Calculations, and Role of Financial Institutions in LIHTC
20:51 - Timing and Process of Buying Tax Credits; Installment Receipts During Construction
23:44 - Debt Sizing, Service Coverage, and Gap Funding in Affordable Housing Projects
27:01 - Financial Modeling Challenges and Diverse Funding Sources in Affordable Housing
30:00 - Project Size Limitations and Differentiating Between 9% and 4% Tax Credits
33:10 - Combining Tax Credits for Financing and Investor Benefits in Affordable Housing
36:04 - Evaluating Affordable Housing as a Business Venture and Invitation for Further Discussion
Ben Stevens is a project manager for a real estate development firm in Chicago. He holds an MBA in Real Estate and Urban Land Economics from the University of Wisconsin at Madison. On the side, he hosts The Skyline Forum. He is also the author of the new book, The Birth of a Building. Ben lives in Chicago with his wife and two children.
Today we are starting a two-part episode with Ben. We are specifically talk about LIHTC-supported investments. We also jump into a variety of other topics based on Ben’s knowledge, including lessons he has learned and how allocation is set up.
View show notes for this episode: https://www.adventuresincre.com/audioseries-s2e5/
Watch other episodes: https://www.adventuresincre.com/audioseries/
Learn more about A.CRE: https://www.adventuresincre.com/
SUBSCRIBE: https://www.youtube.com/user/sburtonhome?sub_confirmation=1
A simple story that explains how LIHTC works. Will nonprofit developer Scooter be able to revitalize the abandoned school down the street?
CEDAM members can download a copy of this video here: http://cedam.info/resources/videos/
A brief overview of the LIHTC process, things to look out for, and how to get started.
www.bedfordlending.com
Presented by:
Kyle Jean
[email protected]
603-647-4646
The low-income housing tax credit (LIHTC) program is one of the federal government’s primary policy tools for encouraging the development and rehabilitation of affordable rental housing. While the LIHTC Program can seem complex; the program is being effectively utilized by numerous housing and community development agencies to increase affordable housing options available in their local communities. This webinar explains the rules and regulations required to establish and maintain compliance at an LIHTC project.
Power Point Presentation
http://ruralhome.org/storage/documents/training_materials/webinars/lihtc-compliance-ppt.pdf
Resources:
1. Low Income Housing Tax Credit Summary (.pdf)
https://www.hudexchange.info/resources/documents/Low-Income-Housing-Tax-Credit-Summary.pdf
2. Low Income Housing Tax Credit Fair Housing
http://portal.hud.gov/hudportal/HUD?src=/program_offices/fair_housing_equal_opp/lihtcmou
3. Liz Bramlet Consulting LLC
http://www.lizbramletconsulting.com/
Funded by: U.S. Department of Housing and Urban Development and U.S. Department of Agriculture - Rural Development
The Low Income Housing Tax Credit (LIHTC - often pronounced "lie-tech", Housing Credit) is a dollar-for-dollar tax credit in the United States for affordable housing investments. It was created under the Tax Reform Act of 1986 (TRA86) that gives incentives for the utilization of private equity in the development of affordable housing aimed at low-income Americans. LIHTC accounts for the majority (approximately 90%) of all affordable rental housing created in the United States today. As the maximum rent that can be charged is based upon the Area Median Income ("AMI"), LIHTC housing remains unaffordable to many low-income (<30% AMI) renters. The credits are also commonly called Section 42 credits in reference to the applicable section of the Internal Revenue Code. The tax credits are more attractive than tax deductions as the credits provide a dollar-for-dollar reduction in a taxpayer's federal income tax, whereas a tax deduction only provides a reduction in taxable income. The "passive loss rules" and similar tax changes made by TRA86 greatly reduced the value of tax credits and deductions to individual taxpayers. As a result, almost all investors in LIHTC projects are corporations.
iiiiiiiif... you don't get a job, though you're tryin' and you stop believing that there's s.th. for you out there... don't you lose your faith and don't do any mistakes though the devil on your shoulder's getting louder. one thing i can tell you is you should never sell your soul and your body to the bad guys ! i know it's a temptation but keep a little patience 'cause when you go to fast you fall for their lies. i can imagine it's kind of hard if you don't know how to start working and gettin' money for a living. but i think you should wait for a good way to get payed; don't go to the enemy i'm not kiddin'! think about it now i think that you're about to be doin' a job that's making you an asshole. i can guarantee that this is going to be unsatisfying and stressfull.... so.... don't don't don't don't don't become a cop !!!! 'cause being a cop is fucked up !!! if people don't get a job and demonstrate you beat'em up. is that really what you wanna be doin' out there? i know you don't, of course, but the choice just ain't yours when the chiefcommander behind you is getting louder. you'll lose your selfesteem and therefore you get mean, treatin' people like you are superior. don't you understand that this gets out of hand: you'll turn into a violent brainless creature. so listen to my advice: this is'n a propper price, you shouldn't even be thinkin' about payin' that. the way you would be changing ain't worth no stupid payment. they're gonna make you aggressive, dumb and braindead! do you know how you can tell a human from an animal? ever heard about the little thing called reason? you just give it away 'cause ev'ry order you obey... why would you wanna be a policeman? so.... don't don't don't don't don't become a cop !!!!
) Post-pandemic surges in housing costs have laid bare the housing affordability crisis facing Americans... [...]. This is an abstract of the document ... AttachmentsOriginal document Permalink.
"We are very pleased to announce the closing of our largest multi-investor LIHTC fund vehicle to date and which will bring high-quality affordable housing to more than 1,600 households in 19 different communities across our nation," said Ryan P.
(MENAFN - 3BL) In this episode of BuzzHouse, hosts Donald Bernards and Garrick Gibson dive into the complexities of the low-income housing tax credit (LIHTC) market, welcoming Lindsay Soyka and ... .
Those affordable housing units were built with the Low-Income Housing Tax Credit, or LIHTC, a federal program established in 1986 that provides tax credits to developers in exchange for keeping rents low.
While all FHLBank Chicago members are eligible to participate, up to $200 million of the LIHTCCollateralPilotProgram funding will be reserved for members with assets under $1.46 billion, including CDFIs.