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LIHTC is good business.

Making low-cost rental housing a reality. Fannie Mae’s Low-Income Housing Tax Credit (LIHTC) equity investments have helped thousands of individuals access quality, affordable housing. 

These investments provide a reliable source of capital to support the creation and preservation of affordable rental housing. Since re-entering the market in 2018, we have invested in hundreds of properties, working closely with syndicator partners, developers, and housing experts. More than just a secure investment, these rental units help overcome barriers to affordability while enhancing the lives of residents that call them home.

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Since 2018, approximately $4.7 billion invested for affordable rental housing, and counting.

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LIHTC Animated Video Series

View the video series, which showcases our LIHTC equity investments and its positive impact on residents, affordable housing, and communities across the country.

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Creating and preserving affordable housing throughout the U.S.

Build on what works. LIHTC is a proven and effective solution to closing the affordability gap in areas of need. We have a national footprint and have made investments in all 50 states and Guam, Puerto Rico, the U.S. Virgin Islands, and Washington, D.C. No matter where these properties are, LIHTC investments create affordable rental supply, and many offer supportive services that can directly benefit the renters. This has a large-scale, positive impact on communities we support.

Communities that benefit from LIHTC equity investment:

  • Rural and other housing markets nationwide
  • Populations with unmet needs, including Native American and farmworker communities
  • Housing designated for seniors
  • Residents who have experienced homelessness
  • Disaster-impacted areas

The power of strong partnerships means that thousands more individuals in need can continue to access high-quality, affordable housing.

Success stories and case studies

See how Fannie Mae's LIHTC equity investments focus on communities in need.
Olive Ranch
Oroville, CA
Mino-Bimaadiziwin
Minneapolis, MN
Arlington Apartments
Tacoma, WA


Grace Garden
West Fargo, ND
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lihtc slide show

Answers to Frequently Asked Questions about Fannie Mae's LIHTC

The federal government’s low-income housing tax credit program is a solution for creating and preserving the supply of affordable rental housing for low- and very low-income households. It encourages and channels private investment by awarding tax credits via state housing agencies to affordable housing developers, who connect with corporate investors seeking those tax credits in return for capital contributions for affordable multifamily rental housing. Properties financed by the LIHTC program are required to set aside units for low-income renters. The program is administered by states, which may impose requirements and incentives for a greater percentage of affordable units and/or units that serve renters with incomes lower than the federal minimums.

Two ways that Fannie Mae participates in the LIHTC program are through equity investments and debt financing. We are a LIHTC equity investor, providing capital for affordable rental housing. In addition, we offer debt financing through products that support multifamily affordable housing creation and preservation projects that utilize 4% and 9% LIHTC as part of their financing structure.  For information on Fannie Mae’s affordable products supporting LIHTC properties, visit our Multifamily Products page.

Fannie Mae’s LIHTC equity investments provide a reliable source of capital to create and preserve affordable rental housing. We partner with syndicators, including nonprofit, regionally specialized members of the National Association of State and Local Equity Funds (NASLEF), to make indirect investments in LIHTC projects. We invest in two ways: 1) Proprietary Funds (Fannie Mae is the sole investor) and 2) Multi-Investor Funds (Fannie Mae is one of several investors in the fund).

By channeling private capital investment, the LIHTC program supports the creation or preservation of much of the subsidized housing in the U.S. Approximately 90,000 apartment units are built each year using LIHTC financing, enabling thousands of Americans to find affordable rental housing. Fannie Mae’s LIHTC properties can be found in all 50 states, as well as Guam, Puerto Rico, the U.S. Virgin Islands, and Washington, D.C.  See map.

LIHTC investments help to increase rental housing supply in areas that are in need, with many properties focused on providing access to low and very low-income residents who face disproportionate barriers to affordability. Fannie Mae’s LIHTC investments help to provide affordable housing, improving the well-being of residents and their entire communities.

Yes, Fannie Mae LIHTC equity investments help make affordable housing possible in rural areas. In support of our Duty to Serve (DTS) commitment, we invest in LIHTC properties in high-needs rural regions, Native American communities and farmworker communities. Learn more.