Purpose 

The federal Low Income Housing Tax Credit (LIHTC) Program is a subsidy resource frequently used in conjunction with HFA financing. HFA is one of three sub-allocating agencies in the State of New York.  As such, HFA only allocates Cap Credits from the State Annual Allocation Cap, and "as of right" credits generated through the use of proceeds of federally tax-exempt private activity bonds issued by HFA to finance qualified residential rental projects. 
 
Projects that obtain financing from other sources may receive allocations from the primary New York State LIHTC allocating agency, the New York State Division of Housing and Community Renewal (DHCR), or from one of the other sub-allocating agencies, the New York City Department of Housing Preservation and Development and the Development Authority of the North Country.
 
HFA has its own Qualified Allocation Plan (QAP) which governs the allocation or allowance by HFA of Cap Credits, as well as the allocation of “as of right” credits, under Section 42 of the Internal Revenue Code.  Cap Credits may only be used in conjunction with taxable bond financing or conventional financing.  Projects that receive taxable bond financing from the Agency and that are eligible for Cap Credits subject to the State LIHTC Ceiling (the total amount of Cap Credits available in New York State) may receive such credits pursuant to HFA’s QAP only if DHCR has authorized HFA to allocate Cap Credits for the project from the State Ceiling, and the project meets all criteria applicable under HFA’s QAP. 

Eligibility

Allocations are subject to an analysis of the project’s need, the projected benefits to low income households, and the availability of Cap Credits. 
 
Applications for financing under this program are accepted on a continuous basis.

Contact

NYS Housing Finance Agency
641 Lexington Avenue, 4th Floor
New York, NY 10022
(212) 688-4000