NAHP Affordable Housing Programs & Regulations 2

Question 1

Under the HOME Investment Partnerships Program, what is the minimum percentage of funds that must be used for housing that benefits very low-income households (at or below 50% AMI)?

Accepted Answer

25%

Answer

HOME requires that at least 25% of each participating jurisdiction's HOME allocation benefit very low-income households at or below 50% of AMI.

Question 2

Which federal program provides interest rate subsidies to enable below-market-rate mortgages for affordable homeownership, often used in conjunction with HOME funds?

Accepted Answer

Section 502 Direct Loan Program

Answer

The USDA Section 502 Direct Loan Program provides payment assistance and low-interest loans to very low and low-income rural homebuyers.

Question 3

The Low-Income Housing Tax Credit (LIHTC) 4% credit is typically paired with which type of bond financing?

Accepted Answer

Tax-exempt private activity bonds

Answer

The 4% LIHTC is automatically triggered (non-competitive) when at least 50% of a project's aggregate basis is financed with tax-exempt private activity bonds.

Question 4

Under Fair Housing Act provisions, which of the following is NOT a protected class at the federal level?

Accepted Answer

Source of income

Answer

Source of income (e.g., housing vouchers) is not a federally protected class under the Fair Housing Act, though many states and localities have added this protection.

Question 5

What is the primary purpose of a Consolidated Plan required by HUD for entitlement communities?

Accepted Answer

To identify community needs and allocate CDBG, HOME, and other HUD funds

Answer

The Consolidated Plan is a strategic planning document that assesses housing and community development needs and directs the use of federal HUD formula grants.

(NAHP) National Affordable Housing Professional Practice Test

(NAHP) National Affordable Housing Professional Practice Test

NAHP Affordable Housing Programs & Regulations 2