NEW YORK CITY-Over the last 25 years, the federal Low IncomeHousing Tax Credit Program has created over 2.2 million units ofaffordable housing and remains the largest affordable housingprogram in the US. But new research is shedding light on the impactit has on multifamily owners/managers and tenants.

A study from the NYU Furman Center for Real Estate andUrban Policy and the Moelis Institute ForAffordable Housing Policy finds that the Low IncomeHousing Tax Credit program serves a substantial number ofhouseholds with incomes far lower than the program requires.According to the study, approximately 40% of LIHTC units houseextremely low-income households with incomes below 30% of the areamedian income, even though program rules allow the developments toserve households with incomes up to 60% of the area medianincome.

The report, “WhatCan We Learn About the Low Income Housing Tax Credit Program byLooking at the Tenants?”, also finds that tenantsexperience a lower rent burden than renters with similar incomesliving in private housing.