What determines the eligibility of tenants for LIHTC properties?

Eligibility for tenants in Low-Income Housing Tax Credit (LIHTC) properties is primarily based on income limits that are determined in relation to the area median income (AMI), adjusted for family size and specific occupancy standards.

This ensures that the intended demographic, which includes lower-income individuals and families, has access to affordable housing options. The AMI serves as a benchmark to assess whether tenants' incomes fall within the prescribed limits that qualify them for benefits under the LIHTC program. For example, a household earning 60% of the AMI would likely qualify for these housing situations, assuming they meet other conditions, such as family size requirements.

While factors such as age and employment status, tenant credit history, and geographic location can influence a tenant’s overall financial situation or ability to pay rent, they are not the primary determinants for qualifying for LIHTC housing. The focus is firmly placed on income relative to the AMI to ensure affordability and accessibility within the housing market.