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As tight as the affordable rental housing market is, it’ll worsen. The Republican tax plan lowers the corporate tax rate from 35% to 21% and lowers taxes on pass-throughs. These changes will reduce the value of tax credits used to build low income-housing, thus reducing the number of affordable units built by 15% or 14,000 units/year. Other changes make renting relatively more attractive, increasing demand. That will boost market rents.
Elliot F. Eisenberg,
Ph.D. GraphsandLaughs, LLC
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