Comparing Opportunity Metrics and Locational Outcomes in the Low-Income Housing Tax Credit Program

Abstract

The Low-Income Housing Tax Credit (LIHTC) has been criticized for concentrating units in poor minority neighborhoods. This study analyzes the distribution of LIHTC units in San Antonio and assesses the opportunity provision in Texas’s 2016 Qualified Allocation Plan (QAP). Results indicate that since the incorporation of the opportunity provision in 2009, more tax credits have been allocated to neighborhoods with lower poverty and higher racial diversity. Maximum scoring neighborhoods in the current QAP are located in low-poverty communities that perform above average in socioeconomic conditions, but below average in accessibility and sustainable healthy environments.