All News

Wednesday, May 4, 2022

A change in how the U.S. Department of Housing and Urban Development (HUD) calculates income limits for 9% low-income housing tax credit (LIHTC) properties in rural areas means that property owners who used the HUD website or the Novogradac Rent & Income Limit Calculator© may need to re-run their limits to ensure compliance with the updated calculation. The change applies to properties in rural areas as defined by the U.S. Department of Agriculture, which are able to use the greater of the applicable income limit for their county or the national non-metro median income limit.

Thursday, April 21, 2022

The National Low Income Housing Coalition (NLIHC) released Thursday its annual affordable housing report, “The Gap: A Shortage of Affordable Homes,” which strives to examine the factors contributing to challenges in affordable housing as well as the geographic areas of greatest impact.

Tuesday, April 19, 2022

The U.S. Department of Housing and Urban Development (HUD) today posted income limits to determine eligibility for HUD-assisted programs, as well as eligibility for low-income housing tax credit (LIHTC) and tax-exempt bond properties for fiscal year (FY) 2022. The FY 2022 national median income is $90,000, a 12.5% increase over 2021. The limits took effect April 18. HUD publishes income limits for public housing, Section 8, Section 221(d)(3) and Section 236 properties. HUD also publishes Multifamily Tax Subsidy Projects (MTSP) income limits to determine eligibility for the LIHTC and tax-exempt bond properties.

Monday, March 28, 2022

President Joe Biden today released his proposed fiscal year 2023 (FY 2023) budget, which includes provisions to make the new markets tax credit (NMTC) permanent and to allow selective basis boosts for bond-financed affordable housing properties, which pair with 4% low-income housing tax credits (LIHTCs). The budget also includes $71.9 billion for the U.S. Department of Housing and Urban Development (HUD)–$6.2 billion more than the 2022 level–and $331 million for the Community Development Financial Institutions (CDFI) Fund, an increase of $25 million over the FY 2022 level.

Thursday, March 24, 2022

The U.S. Department of Housing and Urban Development (HUD) will publish a notice in Friday’s Federal Register seeking comments evaluating HUD’s annual collection of information of data on low-income housing tax credit (LIHTC) properties and tenants. The notice seeks feedback on whether that information is necessary, how accurate the data is and ways to enhance the information while minimizing the burden on those who are to respond. Comments are due by May 24.

Wednesday, March 9, 2022

The House of Representatives today released a $1.5 trillion omnibus spending bill for fiscal year (FY) 2022 that includes a 6.7% increase in nondefense spending, the largest such increase in four years. Gross appropriations for the U.S. Department of Housing and Urban Development (HUD) is $65.7 billion, an 8.9% increase from FY 2021. The legislation contains no provisions related to the low-income housing tax credit (LIHTC) nor to renewable energy provisions that expired at the end of 2021. This is the first fiscal year without discretionary spending caps from the Budget Control Act of 2011.

Wednesday, March 9, 2022

The U.S. Department of Housing and Urban Development (HUD) will publish a notice in Thursday’s Federal Register of revised fiscal year 2022 fair market rents (FMRs) for 12 areas, based on new survey data. The 12 areas (representing nine states, with California, North Carolina and Washington each having two revised areas) are updates to the FMRs published in August 2021. The FMRs are used for the Housing Choice Voucher program, Moderate Rehabilitation Single-Occupancy program and other HUD programs. The revised FMRs are applicable April 9.

Monday, February 28, 2022

The Federal Housing Finance Agency today announced that the national Housing Trust Fund (HTF) and the Capital Magnet Fund (CMF) will receive more than $1.1 billion for affordable housing initiatives from Fannie Mae and Freddie Mac. The HTF, which allocates money to states and state-designated entities to build or preserve affordable housing, will receive $740 million, a $29 million increase from 2021. The CMF, which awards money to finance affordable housing activities and related economic development activities and community service facilities, will receive $398 million, a $15 million increase from 2021.

Tuesday, February 15, 2022

The U.S. Department of Housing and  Urban Development (HUD) will publish a notice in Wednesday’s Federal Register announcing 2022 annual adjustment factors (AAFs) for Section 8 housing assistance payments. AAFs are used by two categories of Section 8 programs: the new construction, substantial rehabilitation and moderate rehabilitation programs; and loan management and property disposition programs.

Wednesday, February 9, 2022

The Federal Housing Finance Agency (FHFA) today announced that it is seeking input on its Draft Strategic Plan to set priorities for the coming years as the regulator of the Federal Home Loan Bank system and as the conservator of Fannie Mae and Freddie Mac. The plan includes objectives aimed at accomplishing three goals–securing the regulated entities’ safety and soundness, fostering housing finance markets that promote equitable access to affordable and sustainable housing, and responsibly stewarding FHFA’s infrastructure.

Tuesday, January 4, 2022

The U.S. Department of Housing and Urban Development (HUD) will publish in Wednesday’s Federal Register two notices advising the public of HUD’s expedited process for waivers and flexibilities from regulatory and administrative requirements during presidentially declared disasters (PDDs) for 2022 and 2023. HUD published a notice for public housing authorities in PDD areas and another notice for Indian Housing Block Grant, Indian Community Development Block Grant and Native Hawaiian Housing Block Grant grantees in PDD areas.

Tuesday, January 4, 2022

The U.S. Department of Housing and Urban Development (HUD) will publish a notice in Wednesday’s Federal Register  seeking comment on its proposed collection of information for HUD’s annual adjustment factor (AAF) rent increase requirement. HUD is seeking approval from the Office of Management and Budget to collect the information from owners of project-based Section 8 contracts that use the AAF as the method of rent adjustment.

Wednesday, December 22, 2021

The future of the Build Back Better Act (BBBA) and related community development incentives after Sen. Joe Manchin’s announcement that he would not vote for the legislation is the subject of this week’s Tax Credit Tuesday episode. Michael Novogradac, CPA, is joined by Peter Lawrence, Novogradac director of public policy and government relations, and Tony Grappone, CPA, to discuss what’s next for potential tax extenders legislation, what tax incentive provisions could be included in a future version of the BBBA and more.

Wednesday, December 22, 2021

The Federal Housing Finance Agency (FHFA) today issued a final rule that establishes 2022 benchmark levels for multifamily housing goals for Fannie Mae and Freddie Mac (the Enterprises). The goals are for the Enterprises to purchase mortgages on low-income multifamily properties with 415,000 units, with 88,000 of those units for very-low-income residents. The subgoal for small multifamily properties (five to 50 units) is 17,000 units for Fannie Mae and 23,000 units for Freddie Mac. The FHFA also released benchmark levels for 2022-2024 for single-family housing, but due to public comments on the proposed rule and the differential impact of COVID-19 on various multifamily origination segments, the multifamily goals apply to 2022 only.

Monday, December 20, 2021

The Federal Housing Finance Agency (FHFA) today announced that in 2020 Fannie Mae met all of its single-family and multifamily housing goals, while Freddie Mac met all goals except the low-income refinance goals. FHFA notified Freddie Mac that it must prepare a housing plan describing actions it will take in 2022-2024 to improve its performance on the low-income refinance goal.

Wednesday, November 10, 2021

The U.S. Department of Housing and Urban Development’s (HUD’s) Office of Multifamily Housing published a mortgagee letter Wednesday moving all of its Multifamily Accelerated Processing (MAP) lenders to an electronic application submission process. FHA Catalyst: Multifamily Applications Module will take effect Dec. 10 for all electronic MAP submissions. Mailed hard copies, USB drives or emailed cloud-storage service links will no longer be accepted or required as of that date. 

Monday, November 1, 2021

The U.S. Department of Housing and Urban Development (HUD) announced today in a press release the allocation of more than $2 billion in Community Development Block Grant-Disaster Recovery (CDBG-DR) and Community Development Block Grant-Mitigation (CDBG-MIT) funds.

Thursday, October 28, 2021

President Joe Biden today announced the Build Back Better framework to guide the drafting of reconciliation legislation. Bill text introduced today in the House Rules Committee details the $1.75 trillion spending proposal.

Of the $1.75 trillion, $150 billion would be set aside for housing and community development spending, including funding for rental assistance, preserving public housing and the national Housing Trust Fund (HTF). The framework also includes $555 billion for clean energy tax and spending proposals, of which $320 billion are for tax proposals, about $50 billion more than the House Ways and Means version of the reconciliation package.

Monday, October 25, 2021

Research by Novogradac shows that 2023 income limits calculated by the U.S. Department of Housing and Urban Development (HUD) could be on average 3.5% lower if calculated using the five-year American Community Survey (ACS) data than they would be under one-year ACS data. The U.S. Census Bureau recently announced it will not release a 2020 one-year ACS due to data collection issues, which could result in HUD using the five-year ACS data instead of the one-year ACS data to calculate 2023 income limits. 

Wednesday, October 6, 2021

The U.S. Department of Housing and Urban Development (HUD), the Office of the Assistant Secretary of Public and Indian Housing, and the Office of the Assistant Secretary for Housing-Federal Housing Commissioner will issue in Thursday’s Federal Register an interim final rule extending the time period housing providers give tenants facing eviction for nonpayment of rent due to complications arising from the COVID-19 pandemic for project-based rental assistance (PBRA) programs. The rule extends the lease termination period for such tenants to at least 30 days following notification for those using Section 8, Section 8 Moderate Rehabilitation, Section 202/162 Project Assistance Contract, Section 202 Project Rental Assistance Contract (PRAC), Section 811 PRAC, Section 236 Rental Housing Assistance Program and Rent Supplement.