Bill > HR4572

This bill aims to modify the low-income housing credit (also known as the affordable housing tax credit) by eliminating the "qualified contract option" for certain housing projects. Specifically, the bill repeals the provision that previously allowed housing developers to request that state housing agencies purchase their low-income housing properties at a predetermined price after a certain period. The changes will apply to buildings that received housing credit allocations before January 1, 2025, or buildings financed through tax-exempt bonds that were determined to be financially feasible before that date. Under the new rules, if a developer wants to exit the affordable housing program, they must sell the entire building (both low-income and non-low-income portions) at fair market value, as determined by the housing credit agency while taking into account existing rent restrictions. The bill, titled the "Save Affordable Housing Act of 2025," effectively makes it more challenging for property owners to convert affordable housing units to market-rate housing by removing the previous option to sell at a predetermined price, thus potentially preserving more affordable housing units in the long term.

Budget and Finance

https://www.congress.gov/bill/119th-congress/house-bill/4572/all-info