Fannie Re-enters LIHTC Market, Fund Focused on Hurricane Areas
February 16, 2018
Fannie Mae re-entered the low-income housing tax credit market and this month closed on a $100 million fund focused on supporting affordable multifamily housing in hurricane-ravaged communities. The GSE collaborated with Raymond James Tax Credit Funds to create the fund. After being absent from the LIHTC market for almost a decade, Fannie closed on the fund on Feb. 5 and said it’s now part of an ongoing effort to provide a reliable source of capital for affordable rental housing and underserved markets. The Federal Housing Finance Agency announced late in the fourth quarter that both Fannie and Freddie Mac are allowed to re-enter the LIHTC market but with limitations so they’re not in direct competition with the private market.