How does Section 42 differ from other rental assistance programs such as Section 8?
Despite the name, tax credit housing is NOT low-income housing. The tax credit program is designed to provide affordable housing for moderate-income households. Section 42 is a tax benefit granted to the owner for a particular rental apartment. The owner is then required to lease that rental apartment to individuals who do not exceed the set maximim income levels. When leasing the apartment, the renter benefits from the program by paying a lower rental amount.
