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Affordable Housing Garners Greater Attention in Post-Pandemic Environment
This new report series from Arbor and Chandan Economics explores the many facets of affordable housing and the major trends shaping the market. It’s a critical time to focus on affordable housing, as pandemic-related headwinds and longstanding structural forces have impacted housing affordability.
- The pandemic’s economic effects combined with surging rent prices have strained low-income renters.
- Reduced business income due to the pandemic-related downturn may decrease the value of Low-Income Housing Tax Credits (LIHTC), requiring developers to seek alternative financing sources.
- The share of mortgages utilizing the 4% LIHTC remained elevated through second-quarter 2021, reflecting the continued attractiveness of rehabbing versus ground-up development.
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