Novogradac & Company Llp

Federal law generally requires low-income housing tax credit (LIHTC) properties to remain rent restricted and only available to low-income tenants for a minimum of 30 years. This period of required affordability beyond Year 15 is called the extended-use period. Some states extend the affordability period even longer. As more LIHTC properties reach or approach Year 30, Michael Novogradac, CPA, and Novogradac partner Chris Key, CPA, discuss four common options for LIHTC owners at Year 30, including the benefits, considerations and challenges of each.