The Low-Income Housing Tax Credit (known as LIHTC or the Housing Credit) stimulates investment in affordable housing in underserved inner-city and rural communities and in higher cost suburban communities across the nation. It provides low-income families with a safe and decent place to live and, by lessening their rent burdens, frees up additional income that can be spent on other necessities or put into savings for education or homeownership. The Housing Credit is also a vital community and economic development tool, creating jobs and catalyzing redevelopment in struggling communities.
All told, the Housing Credit has spurred the development of more than 2.6 million quality homes for working families, seniors, disabled veterans, and people at risk of homelessness. Each year, it finances about 100,000 units of affordable housing and creates approximately 95,000 jobs in the construction and property management industries. It underpins nearly all affordable housing build across the country.
Learn more about LIHTC financing here.