It is with great excitement that I announce Fannie Mae’s re-entry into the Low-Income Housing Tax Credit (LIHTC) market. We received FHFA approval to resume LIHTC equity investment activities effective immediately, which is terrific news for the industry. We are encouraged by the opportunity FHFA’s recent decision provides Fannie Mae to restart LIHTC business activities in a safe and sound manner and in alignment with other business activities that support multifamily affordable housing.

The LIHTC program has long been the most effective tool at driving the increased housing supply for low- and very low-income families. The LIHTC program has built nearly 3 million apartment units, housing about 6.7 million low-income families and currently finances the construction and rehabilitation of almost all subsidized housing in the U.S. Approximately 90,000 apartment units are built each year using LIHTC, helping thousands of Americans find affordable housing.

Fannie Mae’s re-entry into this critical market will provide a reliable source of capital needed for affordable housing in diverse economic cycles and markets. Fannie Mae is unique in its mission and history, and well positioned to provide immediate and ongoing impact in the affordable multifamily market through LIHTC. Our goal is to support the preservation and production of affordable rental housing when and where those needs are not being adequately met.

We look forward to expanding the productive relationships we have with key partners in the LIHTC industry and enhancing our product line to offer equity financing solutions to support the ongoing needs of the market.

This is a significant step forward in positioning Fannie Mae to better serve the multifamily market and play an integral role in addressing America’s affordable housing crisis.

Best,

Jeff

More information available on Fannie Mae’s:

Low-Income Housing Tax Credit Program
Multifamily Affordable Housing
Healthy Housing Rewards™