How HTF-funded Rental Housing Works
Most potential OZ investors are likely to be interested in rental developments and grantees will need to review the HTF rental housing requirements. HTF-assisted units must be occupied by income-eligible households, have affordable rents, and must remain affordable for a period of not less than 30 years. Based on the state’s HTF allocation plan, each state may set priorities for the targeting of HTF rental units based on its local housing supply and needs. Remember, HTF units are targeted for ELI and VLI households. In many cases, HTF may need to be combined with other sources, such as project-based assistance, to ensure long-term sustainability.
Similar to the HOME Program, the HTF program requirements include standards for calculating tenant income both at initial occupancy and then annually throughout the affordability period. Owners must market HTF units following the grantee’s affirmative marketing plan and tenants are selected following written tenant selection policies to ensure equal access to the affordable housing units.