National Impact of the Housing Credit, Updated
The ACTION Campaign (ACTION), which Enterprise co-chairs, recently updated its National and State Fact Sheets on the impact of the Low-Income Housing Tax Credit (Housing Credit). The Housing Credit has financed nearly 3.2 million rental units nationwide, providing approximately 7.4 million low-income households with homes they can afford.
ACTION is a coalition of over 2,200 national, state, and local organizations and businesses working to address our nation’s severe shortage of affordable rental housing by protecting, expanding and strengthening the Housing Credit.
ACTION’s National Fact Sheet highlights the Housing Credit’s benefits for low-income families and the economy:
- 3.2 million homes developed or preserved
- 7.4 million low-income households served
- 3.6 million jobs supported for one year
- $135 billion of tax revenue generated
- $344 billion of wages and business income generated
While the Housing Credit has had a tremendous impact nationwide, much more affordable housing is still needed nationwide. Nearly 10.8 million renter households pay more than half of their monthly income on rent alone, leaving too little for other expenses like health care, transportation, and nutritious food. A minimum wage worker has to work 99 hours per week in order to afford a one-bedroom apartment at the national average fair market rent.
The ACTION Campaign advocates for the expansion of the Housing Credit so that it can further address our nation’s severe shortage of affordable housing. The Affordable Housing Credit Improvement Act would provide a 50 percent increase in Housing Credit allocation authority, which would result in an estimated 384,455 additional affordable homes across U.S. states and territories over the next ten years.
The ACTION Campaign has also updated these figures at the state-level, including the estimated additional affordable homes that could be built through a 50 percent increase in Housing Credit allocation. Click here to find your State Fact Sheet.
The National and State Fact Sheets have been updated with data from the 2017 National Council of State Housing Agencies (NCSHA) State HFA Factbook, 2017 American Community Survey, the National Low Income Housing Coalition’s 2018 Out of Reach report, new calculations by Novogradac, and estimates using multipliers from the National Association of Home Builders. Click here for more detailed information on the data sources and methodology.
The ACTION Campaign’s District Fact Sheets will be updated with new data this summer.
These advocacy tools demonstrate the Housing Credit’s impact in each state and nationwide and can be used to call for the expansion and strengthening of the Housing Credit. Learn more about ACTION at www.rentalhousing.org and click here to join ACTION today!