Transactions for Affordable Housing often involve both debt and equity sources of funds and require proper analysis of, and coordination between, available financing tools. Among these tools are mortgages, tax-exempt bond financing options, low-income housing tax credits (LIHTC), historic tax credits, new markets tax credits and various government programs for subordinated loans or grants.
Love Funding has the proven ability to provide a complete package of services to finance an Affordable Housing project in a timely, cost-efficient manner.
HUD defines Affordable Housing as:
a) projects that have a recorded regulatory agreement in effect for at least 15 years after final endorsement; or
b) projects that meet at least the minimum LIHTC restrictions of 20% of units at 50% of the Area Median Income (AMI), or 40% with economic rents (portion paid by tenants) on those units no greater than LIHTC rents; or
c) mixed income projects if the minimum low income unit rent and occupancy restrictions and regulatory agreement meet above criteria.
An experienced Love Funding originator can guide our clients through all of the options and advise on the merits of each.