MHDC Rental Production & Preservation Program
The MHDC Rental Housing Production & Preservation Program provides below market interest rate construction and permanent financing to developers (for-profit and not-for-profit) for the acquisition and rehabilitation or new construction of rental housing for low and moderate income families. Applicants must demonstrate prior successful housing experience and engage the services of housing professionals such as architects, appraisers, attorneys, accountants, contractors and property managers with demonstrable multifamily housing experience. The MHDC funds are typically combined with Low Income Housing Tax Credits to fund affordable housing developments.

HOME Rental Production Program
The federally funded HOME program provides financing for the acquisition and rehabilitation or new construction of rental housing. As HOME Administrator for the State of Missouri, MHDC uses a portion of its annual HOME allocation to finance rental production at a very low interest rate, which results in rents that are affordable to low income families. Developers (for-profit and not-for-profit) are eligible to apply for financing. Developers must have the financial capacity to successfully complete and operate the proposed housing development. HOME funds are usually combined with Low Income Housing Tax Credits to fund affordable housing developments.

Low Income Housing Tax Credit Program
This program provides a federal tax credit to investors in affordable housing. The credit can be used each year for 10 years and is allocated to developers, who may sell it to raise equity to construct or acquire and rehabilitate affordable rental housing. Annually, the Internal Revenue Service allocates the credit to each state in an amount equal to $1.80 times its population. Missouri also has a state low income housing credit, and may allocate an amount equal to 100% of the federal credit. The Housing Credit is limited to a percentage of the Qualified Basis, based upon depreciable basis, and the percentage of affordable units in the development. The minimum number of qualifying units is a) 40% of the total number of units affordable to persons at 60% of the median income or b) 20% affordable to persons at 50% of the median income. Developers (for-profit and non-profit) are eligible to apply for tax credits.

Community Development Block Grant Program (CDBG)
Provides financial assistance to local governments for public improvements. Qualifying districts and nonprofit organizations may also receive CDBG funding through their local government. The state CDBG program is available to non-entitlement cities and counties in Missouri.