The Senate recently passed the 21st Century ROAD to Housing Act, which includes a provision banning institutional investors from purchasing single-family homes.
While intended to address housing affordability, the current language may unintentionally impact affordable housing developed using the Low-Income Housing Tax Credit (LIHTC)—including many Tribal housing projects that rely on single-family rental homes.
Because LIHTC properties must remain affordable rental housing for long-term compliance periods, the bill’s seven-year resale requirement for institutional investors conflicts with federal tax credit program rules.
We have joined others in urging Congress to explicitly exempt LIHTC properties from this provision to ensure the legislation does not slow or disrupt affordable housing development in Tribal communities.
If your community is developing housing using LIHTC, we encourage you to contact your members of Congress and request that the final legislation include a clear exemption for Housing Credit properties.
We have prepared a sample letter that you can customize and send. We will continue to monitor developments and share updates as this legislation moves forward.