One provision included in the Vacant Unit Rule states that:

The Vacant Unit Rule is designed to ensure that Low-Income Housing Tax Credit (LIHTC) units remain available to low-income individuals and families in need of affordable housing. This rule specifically requires that property owners make reasonable attempts to rent vacant LIHTC units before considering renting market-rate units. This provision encourages landlords to prioritize filling LIHTC units, which are critical for maintaining affordable housing options for eligible tenants.

This approach aligns with the fundamental intent of the LIHTC program, which aims to provide access to affordable housing for low-income households. By requiring reasonable efforts to fill LIHTC units first, the rule helps protect the availability of subsidized, affordable housing. It also reinforces the understanding that while property owners can operate their properties as market entities, they have a responsibility to address the needs of low-income tenants as a priority.

In contrast, other choices do not accurately reflect the essential principles of the LIHTC program or its specific rules regarding vacancy management and tenant selection. For example, stating that vacant LIHTC units must always be rented first does not consider the need for reasonable efforts, while the suggestion that no market units can be rented while LIHTC units are vacant is too rigid and doesn't allow for practical management of