Why building more homes won't solve the affordable housing problem

Even before 2020, the U.S. faced an acute housing affordability crisis. The COVID-19 pandemic made it a whole lot worse after millions of people who lost their jobs fell behind on rent. While eviction bans forestalled mass homelessness – and emergency rental assistance has helped some – most moratoriums have now been lifted, putting a lot of people at risk of losing their homes.

Honolulu Civil Beat • December 6, 2021

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IRS rules on applicability of 4% floor under select circumstances

The Internal Revenue Service (IRS) on Wednesday issued a revenue ruling and a revenue procedure concerning three 4% low-income housing tax credit (LIHTC) situations. Revenue Ruling 2021-20 holds that buildings are not subject to the minimum 4% floor for draw-down bonds issued prior to 2021, a de minimis Section 42(h)(4)(A) obligation issued after Dec. 31, 2020, or a de minimis allocation of LIHTC funds occurring after Dec. 31, 2020. Revenue Procedure 2021-43 clarifies this ruling. A building’s financing is not deemed de minimis if the aggregate amount of the post-2020 obligations is at least 10% of the total amount of all obligations that finance the building. A post-2020 allocation of LIHTCs is not deemed de minimis if the allocation is at least 10% of the total allocations to the building that have been made on or before the date of the allocation in question.

Novogradac • December 1, 2021

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Fudge on housing funds in reconciliation: 'We can't live in the past'

"We have to find ways to reinvent the housing market so that Black people and poor people and other people of color have a real opportunity to own their own home and to create wealth. So some of the things that this bill is going to allow us to do are provide down payment assistance. We know that most people can afford rent, it is not the rent that is the problem or the mortgage, it is getting into the home with the down payment assistance. So we're going to provide hundreds of millions of down payment assistance."

Roll Call • December 6, 2021

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