The Low-Income Housing Tax Credit (LIHTC) preserves and expands the supply of affordable rental housing. Investors receive a federal income tax credit as an incentive to construct new properties and acquire, renovate, and refinance existing affordable rental housing properties.

Research and Evidence Housing and Communities
Expertise Community and Economic Development Center for Local Finance and Growth
Tags Community development finance and CDFIs Community Reinvestment Act Equitable development Impact investing Federal housing programs and policies Housing affordability and supply Housing finance data and tools Multifamily finance Multifamily housing
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    • Over the past 40 years, the low-income housing tax credit has significantly invested in affordable housing development, but where units are built depends on state and local policy choices and financing conditions.
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