The New Jersey Housing and Mortgage Finance Agency recently notified via email that 2018 applicants for 9% credits will not be permitted to underwrite assuming the new Income Averaging set aside election. 2018 applicants must select either the 20% at 50% or 40% at 60% minimum set aside and adhere to current underwriting parameters (units underwritten above 60% of Area Median Income will be treated as market rate or unrestricted). After award, owners should notify the NJ Housing and Mortgage Finance Agency (Agency) with any substantive changes to the project, including a requested change in minimum set aside by no later than carryover/ binding commitment.
NJHMFA is preparing a QAP amendment to formally allow income averaging in future QAPs.
