More about the LIHTC story here too: https://therealdeal.com/national/2020/12/21/stimulus-deal-includes-major-change-to-affordable-housing-financing/ … LIHTC is much better than 421a, at least. Can somebody help me understand housing development financing?https://twitter.com/dianeyentel/status/1341159327676174338 …
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Antwort an @richagram
it's extremely confusing and annoying LIHTC and 421-a are not particularly good comparisons of each otherhttps://www.housingalexandria.org/blog/2018/1/8/new-infographic-lihtc-explained …
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Antwort an @ceaweaver
in my head they're lumped together! that is confusing! I keep on reading this "fixed at 4%" thing and I still have no clue what that means thank you!
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Antwort an @richagram @ceaweaver
so this ensures that it will be fixed at a 4% tax credit for the construction costs because previously it was attached to the market so the credit had gone down... ?
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Antwort an @richagram
The tax credit doesn't have anything to do with the building - it's just how you raise equity (cash) for housing. 4% has to do with out much cash you get for the building and doesn't have anything to do with property taxes on the building 421-a has to do with property taxes.
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Antwort an @ceaweaver @richagram
Yep! And, often buildings get both 421a and LIHTC.
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Yup and that’s not really the most awful or double dipping or corrupt thing imo. Just subsidy tools attacking different costs associated w building and running housing
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Antwort an @ceaweaver @richagram
for sure! LIHTC = capital subsidy (its more complicated, but, basically) 421a = a reduction in the operating expenses of a building for finite period of time
0 Antworten 0 Retweets 2 Gefällt mirDanke! Twitter wird dies nutzen, um deine Timeline zu verbessern. Rückgängig machenRückgängig machen
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