Financing Mechanisms for Affordable Housing

2007
|  
Peter Werwath
Summary
This document describes the generic financing mechanisms that are typically used to make housing affordable, touching only briefly on special sources of financing such as HOME, Low-Income Housing Tax Credits, other federal programs and local sources of low-cost financing.
Description

This document describes the generic financing mechanisms that are typically used to make housing affordable, touching only briefly on special sources of financing such as HOME, Low-Income Housing Tax Credits, other federal programs and local sources of low-cost financing. It defines mechanisms as techniques by which affordable housing is directly financed or this financing is induced, and for which standard procedures and legal instruments are generally accepted throughout the United States.

The mechanisms discussed include rent subsidies, operating subsidies, deferred payment loans, owner equity and equity syndication proceeds, alternative mortgage instruments, loan guarantees, mortgage insurance, interest subsidies, compensating balances, linked deposits, matched funding, tax credits, mortgage credit certificates, tax-exempt lending, liberal underwriting guidelines, mortgage purchase programs (secondary markets), lease-purchase loans, market-rate loans, below-market-rate loans and project-based grants.

Viewed 1190 times
Opp360 logo

For full access to our tools and resources, please provide the information below.

We use this data to better understand our users; we do not sell or share this data. By providing this information, you can expect to receive newsletters and other updates from Opportunity360.