Overview

The 9% Low-Income Housing Tax Credit (LIHTC) program helps promote private sector investment in the construction and preservation of affordable rental housing for low-income households. Instead of providing direct financing, it offers a dollar-for-dollar reduction in federal tax liability to property owners who build or renovate apartments for lower-income New Yorkers.

The information and documents provided on this page are specific to the 9% LIHTC program administered by the New York State Division of Housing and Community Renewal (DHCR). 

How DHCR's LIHTC Program Works

  • Tax Credit Allocation: Project owners apply for a 9% LIHTC allocation based on the existing financing gap and the number of low-income units they will develop.
  • Private Equity: Awardees typically convert the LIHTC allocation into up-front private equity to fund construction by selling project ownership interests and the tax credits to private investors. The investors can then claim the LIHTC for ten years after the project is placed in service.
  • Long-Term Affordability: In exchange for these tax credits, owners agree to keep rents for LIHTC-financed units affordable for households earning up to 60% of the Area Median Income (AMI). Projects electing the Average Income set-aside may include LIHTC-financed units affordable to households earning up to 80% AMI. 

 

Additional Funding Sources

Most affordable housing developments use the Low-Income Housing Tax Credit together with other public funding sources, such as:

  • Federal Funding: Community Development Block Grant (CDBG), HOME, and USDA Rural Housing Service (RHS) Section 515.
  • State Funding: Subsidies from the Housing Trust Fund Corporation (HTFC) and other State agencies.
  • Local Funding: Subsidies from local and county governments. 

 

Eligible Applicants

  • Nonprofit organizations
  • Private developers
  • Individuals
  • Corporations
  • Limited liability companies
  • Limited partnerships

How to Apply

The Multifamily Finance 9% LIHTC Request for Proposals (RFP) is a competitive application process through which developers may request 9% LIHTC and other funding to build or preserve affordable housing.

  • When: DHCR accepts applications once a year.
  • Process: Applications are submitted through the Multifamily Finance 9% LIHTC Request for Proposals (RFP).
  • Criteria: Each RFP outlines specific eligibility and requirements. Projects are scored and awarded based on criteria described in DHCR’s Qualified Allocation Plan.

Visit the 2025 Multifamily Finance 9% LIHTC RFP page to access the most recent application materials and term sheets.

Request technical assistance for RFP applicants for guidance and support to prepare 9% LIHTC funding applications.

Qualified Allocation Plan

The 9% Qualified Allocation Plan (QAP) explains DHCR’s LIHTC allocation process, how proposals are evaluated, and programmatic requirements.

Checklists and Forms

  • 9% LIHTC Cost Certification

    This template must be used for the final certification of project costs, as noted in the 8609 Submission Checklist. When you select this file, it will save to your device's downloads folder.

    Download

Additional Guidance

  • Equity Increase Policy

    This policy outlines how additional equity may be used if the final LIHTC and/or SLIHC equity generated is more than originally underwritten.

    Download

Commissioner Determinations

Official determinations made by the Commissioner of NYS Homes and Community Renewal for RFP awards made in exception to the standard QAP requirements. 

 

Commissioner Determinations