Tax Credit Prices Continue to Drop

Tax Credit Prices Continue to Drop



Since June 2008, tax credit prices nationwide have fallen almost 5 cents per 10-year tax credit dollar. As of Oct. 1, 2008, tax credit prices are in the range of 75 to 82 cents per dollar. This figure represents a steep decline in value from a year ago, when prices were in the range of 90 to 95 cents per dollar.

There are a number of reasons for the decrease in equity, including reduced demand by investors who are seeking higher yield investments, says affordable housing consultant A.J. Johnson, an expert in the low-income housing tax credit (LIHTC) program.

Full Article Access:

Full access to complete articles from Tax Credit Housing Management Insider is for subscribers only.

Not yet ready to subscribe?

Topics