1) What is affordable (Section 42) housing?
The Tax Credit Reform Act of 1986 created the Low Income Housing Tax Credit Program (LIHTC). The program regulations are under Section 42 of the Internal Revenue Code. The tax credit encourages developers to build affordable housing to meet the needs of the community. As a condition for receiving Housing Tax Credits, owners must keep the units affordable for a specified number of years. Affordable rents are defined and calculated based on Median Household Income figures published annually by the U.S. Department of Housing and Urban Development (HUD). HUD also determines the maximum qualifying income levels.
The great thing about some of our apartments is that they are structured to accommodate families of all income levels. Some of our sites offer both affordable units and market rate units. You do not have to income qualify for the market rate units.
2) How do I determine if I am eligible for an affordable/tax credit unit?
You will be asked to complete an application that requests information regarding your household composition, income, and student status. These factors will determine your eligibility for this program.
3) What is counted as income and what are assets?
Your income level is based on the combined projected gross income, including income from assets, for the next 12 months of all household members 18 years of age and older.
Assets are those valuables, other than personal items, which must be considered when determining family income. Examples include interest from savings and checking, as well as potential income from IRAs, 401K, CDs, and real estate.
4) Do I have to verify my income every year?
Yes. You must recertify your income and family size before you are offered a continued lease. This process starts approximately 120 days before your lease renewal date. This recertification process does not affect your rent in properties other then Highland Estates, Sunrise Villa and Shady West Apartments. At these three properties, tenants are required to report any income changes or changes in household composition at any given time.
5) Does Prime Property Management accept Section 8 Rental Assistance?
Yes. Prime will accept 3rd party subsidies including Section 8 Rental Assistance with exception to Highland Estates, Sunrise Villa and Shady West Apartments. These three properties provide automatic subsidy at move-in through USDA Rural Development. Please contact the local housing authority to determine if your household qualifies.