Affordable Housing Credit Improvement Act of 2025

Key Provisions

• Increases the amount of affordable housing tax credits states can issue each year, starting with $4.25 per person in 2025 and a minimum of $4,876,000 per state.
• Lets more students, veterans, victims of domestic violence, and foster youth qualify for affordable housing units.
• Requires affordable housing projects to protect victims of domestic abuse, dating violence, sexual assault, or stalking, including allowing lease changes to remove an abuser.
• Makes it easier to build affordable housing in rural areas and Native American communities by including them as "difficult development areas" eligible for more credits.
• Increases tax credits for projects that set aside at least 20% of units for extremely low-income households (those earning 30% or less of the area's median income or 100% of the federal poverty line).