Almost 50% of LIHTC Units Serve Very Low Income Households
The U.S. Dept. of Housing and Urban Development (HUD) has released Understanding Whom the LIHTC Program Serves: Data on Tenants in LIHTC Units as of December 31, 2014.
The report provides information on the income, race, disability status, and family composition of tenants living in Low Income Housing Tax Credit (LIHTC) assisted housing.
- The median annual income of households living in LIHTC housing was $17,152, ranging from $5,492 in Puerto Rico to $32,965 in Alaska.
- Approximately 47.4% of LIHTC households were extremely low income, reporting incomes at or below 30% the Area Median Gross Income (AMGI).
- To help with rental payments, 37.8% of households in LIHTC housing reported receiving some form of additional rental assistance, though HUD was only able to collect data on the use of rental assistance from 69.5% of LIHTC properties.
- The report indicates that 38.7% of all LIHTC households spent more than 30% of their income on rent, making them housing cost-burdened. Approximately 9.5% of all LIHTC households spent more than 50% of their income on housing, making them severely housing cost-burdened.
- In terms of disability status, 9.5% of households included at least one member with a disability. Approximately 25.8% of households had at least one member 62 years of age or older and 28.3% of households had at least one member under the age of 18.
HUD has required state agencies that administer the LIHTC program to submit demographic and economic data on tenants since the passage of the Housing and Economic Recovery Act (HERA) in 2008.
Monarch Housing supports advocacy efforts to protect and strengthen the Low Income Housing Tax Credit (Housing Credit/LIHTC) program. Previously we reported on the success of LIHTC – 30 Years of the Low-Income Housing Tax Credit.
Our federal policy priorities include:
- Protecting and maintaining the viability of the Housing Credit and housing bonds in tax reform
- Expanding and strengthening the Housing Credit to increase the availability of safe and affordable housing and revitalize local economies
- Supporting the Cantwell (D-Wash.) and Hatch (R-Utah) Affordable Housing Credit Improvement Act of 2017, S.548, to increase low-income housing tax credit (LIHTC) authority by 50% phased in over 5 years.
- Supporting the proposed Housing Credit changes that would make credits more useful for assisting lower-income households
The ACTION Campaign is a coalition of over 2,000 national, state, and local organizations and businesses working to address our nation’s severe shortage of affordable rental housing by protecting, expanding and strengthening the Low-Income Housing Tax Credit.