When it comes to affordable housing programs, there are a few options. There’s federal housing that is subsidized by the U.S. Department of Housing and Urban Development (HUD). There’s the Section 8 housing voucher under HUD, allowing tenants to rent private residences approved by local housing authorities to low-income families, the elderly and disabled.
Then, there’s TIF affordable housing. TIF housing offers renters making less than the median income in Dallas an opportunity to lease in newer residential developments around the city by offering reduced rent.
Here’s what you need to know about the program:
What the heck is TIF?
Tax increment financing, otherwise known as TIF, is a “financial method” local governments can use to get assistance to pay for city improvements that will draw further private investment to that area. Humor us for a second…
TIF allows the city an opportunity to improve under-performing real estate in certain areas and reallocates a portion of property tax revenues from those new developments to go back into the area. Private developers approved for TIF are required to use TIF funds to support continued development within that designated area, specifically.
Enough technical jargon; how does the TIF program keep housing affordable as the cost of renting increases within these developed areas?
A Smart City TIF affordable housing “fave” in the Design District.
The 4-1-1: TIF Affordable Housing
Currently, Dallas has 18 active TIF districts, all of which have allocated funding set in place for area-specific transformations. These transformations can take many forms: improved retail/restaurant space, art galleries, office, and hotel space; and what we’re most interested in – residential units. All housing developments in the districts that receive TIF funding are required to set aside 20% for families earning less than 80% of Area Median Family Income (AMFI).
Translated, the city recognizes that while area redevelopment is a good thing, residents in those areas who make less than the average income shouldn’t be forced out justbecause the redevelopment increases the cost of living.
Qualifying for a TIF affordable housing unit in Dallas
There are about eight properties in Dallas that offer TIF housing units. Pricing for these allocated units reflects gross occupant income ranging from $36,540 to $59,850. This means that depending on if you have 1, 2 or 3 occupants on the lease, maximum monthly rent is established based on qualifying combined income. Here’s the gross income breakdown to qualify:
- 1 occupant – min. $36,540 to max. $46,550
- 2 occupants – min. $41,940 to max. $53,200
- 3 occupants – min. $45,468 to max. $59,850
Gross income includes combined base salaries and commissions, bonus structures, and any overtime. Qualified TIF renters are also still required to prove they make at least three times the monthly rent amount. Approved apartment rent for TIF housing studios, one-bedroom units, and two-bedroom units ranged from about $1,015 to $1300 in 2019.
- Max. monthly rent for a TIF housing studio in 2019 was $1,015.
- Max. monthly rent for a TIF housing one-bedroom unit in 2019 was $1,165.
- Max. monthly rent for a TIF housing two-bedroom unit in 2019 was $1,263.
As you can guess, these units lease extremely fast, but, we’re here to help!
A Smart City TIF affordable housing “fave” in West Dallas.
We can help qualified TIF renters find an apartment!
If you’ve read the material above and qualify for TIF affordable housing, reach out to us! The information is dense, but our agents have a good grasp on what type of opportunity is available in Dallas in regards to allocated TIF apartment units. Depending on when you’re looking to move and if you meet the gross income qualifications, our agents can be a knowledgable resource for renters trying to navigate the program. Plus, our apartment locating service is free, free, free whether or not you’re looking to lease TIF housing units!
Give us a call at 214-586-0519, or fill out one of our 30-secondapartment search forms to get matched with an agent!