Housing Bonds Set New Record in 2017

Housing Bonds Set New Record in 2017



According to the latest Annual Volume Cap Report issued by the Council of Development Finance Agencies (CDFA), the combined tax-exempt private activity bond (PAB) issuance for multifamily and single-family housing set a record in 2017. The report presents data on how states allocate and utilize their PAB cap each year.

According to the latest Annual Volume Cap Report issued by the Council of Development Finance Agencies (CDFA), the combined tax-exempt private activity bond (PAB) issuance for multifamily and single-family housing set a record in 2017. The report presents data on how states allocate and utilize their PAB cap each year.

The PAB issuance increased at least 9 percent from 2016 to 2017. According to the report, the combined multifamily and single-family total was $21 billion, an increase of $2.5 billion from 2016. Housing bonds accounted for 84.4 percent of all PABs, the fourth consecutive year that at least 80 percent of PABs went to housing. A record $15.3 billion in multifamily housing bonds, which are paired with 4 percent low-income housing tax credits, was issued in 2017, an increase of $1.3 billion from 2016. CDFA suggests the increase was probably a result of states racing to issue PABs in case they were repealed in tax reform.

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