Report Details LIHTC Effect on Rural America
A report on the impact of the Low-Income Housing Tax Credit (LIHTC) program on rural communities was recently released. The report, “The Low-Income Housing Tax Credit: Overcoming Barriers to Affordable Housing in Rural America,” was prepared by Rapoza Associates in partnership with five members of the National Rural Housing Coalition, including Self-Help Enterprises, Coachella Valley Housing Coalition, Peoples’ Self-Help Housing Corporation, South County Housing, and Community Housing Improvement Program of California.
The report states that LIHTC is the principal tool used by rural communities to develop and preserve affordable rental housing. According to the report, more than 7.3 million rural families live in housing with at least a major affordability, quality, or crowding issue. The report goes on to document the success of the credit in preserving and developing more than 270,000 rental units since its inception in 1986. As a consequence of its activity in rural communities, the tax credit has created 1.15 million jobs, has generated $86.9 billion in local income, and has increased state and local tax revenue by $67.8 billion. Overall, LIHTC accounts for about 50 percent of all financing used by National Rural Housing Coalition members to build or preserve affordable rental housing in rural America.