News | 2024 HUD & Tax Credit Income Limits Are Out! Also a Bonus Tax Credit Tool!

HUD has released the 2024 income limits for their programs and the tax credit/bond programs. They are effective 04/01/2024.

The 2024 HUD AMI limits are HERE

The 2024 MTSP limits are HERE

Please see this BLOG POST for a "Back to Basics" review of how to select the correct income limits for LIHTC properties.

According to the tax code, these must be implemented within 45 days for LIHTC properties -  by 5/16/2024. In the past, this allowed a property to prepare in case of a decrease in income (and rent) limits. In the modern era, this has less meaning for existing projects. This is because income limits hold harmless and will either stay the same or increase each year. However, projects that are receiving an allocation of credits or that will be placed in service within these 45 days will be able to select the most favorable 2023 or 2024 limits to start with. For allocations in this timeframe, the limits selected will affect the gross rent floor. For projects that will place in service in the 45 days, it will affect the income and rent limits that the project will lease up with and hold harmless to in 2024, if necessary.  

Please note: the HOME, CDBG, NSP, and NHTF programs are NOT covered by these limits. These are published by HUD-CPD and generally follow in a month or two. Similarly, Rural Development programs have limits based on HUD's limits but are effective at a time RD assigns. Watch this space for those announcements.

Bonus!

How is it determined if HERA Special, National Nonmetropolitan Rural, or held harmless limits apply to our tax credit properties?

  

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Check out this year's Compliance Summit HERE! Income limits are just one of many topics that will be deeply analyzed at this year's Events. 

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