The Rental Application: A Key Element of LIHTC Compliance
By Caitlin Jones
1 min read
Tax Credit Advisor — September 2010 — A solid tenant rental application is a key part of assuring that a low-income housing tax credit project fully complies with LIHTC program rules, so that the investors can receive the full amount of housing credits that they expect. So what goes into a good application? In recent interviews, compliance experts A. J. Johnson, President of A. J. Johnson Consulting Services, Inc., Williamsburg, Va., and Andrew Bowden, CEO of Spectrum Enterprises, Inc., Cape Elizabeth, Me., gave advice. First of all, says Johnson, “The application needs to be comprehensive.” To collect all of the detailed information needed to determine whether an applicant is eligible and suitable to occupy a tax credit apartment, a longer, customized application is vital. The one that Spectrum has developed, for use by its clients, runs around eight pages, including checklists. A generic renter application form purchased at an office supply store won’t do. Read More…
