Where Credit Is Due

HFAs have found creative ways to magnify the impact of low-income housing tax credits.

12 MIN READ
Led by executive director and CEO Brian Hudson, the Pennsylvania Housing Finance Agency has encouraged Passive House design through its LIHTC program.

Matt Stanley

Led by executive director and CEO Brian Hudson, the Pennsylvania Housing Finance Agency has encouraged Passive House design through its LIHTC program.

The low-income housing tax credit (LIHTC) has not only been the most powerful tool to create and preserve affordable housing, it’s been one of the most flexible.

Housing finance agencies (HFAs) are deploying the housing credit in innovative ways to meet housing needs, maximize resources, and elevate design.

“Innovation been a hallmark of this program from the beginning,” says Barbara Thompson, executive director of the National Council of State Housing Agencies (NCSHA). “The way Congress designed the program was to give the states flexibility. From flexibility stems creativity.”

The Illinois Housing Development Authority (IHDA) has recently deployed some of its housing credits to neighborhoods still struggling with the effects of the foreclosure crisis.

The Wisconsin Housing and Economic Development Authority (WHEDA) has created a special allocation round to fund high-impact projects. In another example, the Pennsylvania Housing Finance Agency (PHFA) has encouraged Passive House design through its LIHTC program.

They’re not alone in finding creative and critical ways to use housing credits. During a time of limited resources, wonderful ideas bloom, says Thompson. “From a national perspective, we’re seeing this kind of innovation all around the country,” she says.

About the Author

Donna Kimura

Donna Kimura is deputy editor of Affordable Housing Finance. She has covered the industry for more than 20 years. Before that, she worked at an Internet company and several daily newspapers. Connect with Donna at [email protected] or follow her @DKimura_AHF.

About the Author

Christine Serlin

Christine Serlin is an editor for Affordable Housing Finance, Multifamily Executive, and Builder. She has covered the affordable housing industry since 2001. Before that, she worked at several daily newspapers, including the Contra Costa Times and the Pittsburgh Tribune-Review. Connect with Christine at [email protected] or follow her on Twitter @ChristineSerlin.