What is Low-Income Housing Tax Credit?
LIHTC (IRC Section 42): among the most important federal programs for producing and preserving affordable rental housing. A developer receives a credit allocation and sells it to a tax-credit investor for equity, reducing the debt the project needs.
Where you will use it: this term comes up in the Real Estate Finance course, and the full course glossary collects every term in one place.
Related terms
From the free Real Estate Finance course by Devon Coombs, CPA, MBA.