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Austin SMART Housing & City Affordability Programs

Austin's SMART Housing MFI rules, how they differ from LIHTC, and how to find SMART Housing units competitors miss.

Austin apartment building with downtown skyline in the background

What Austin SMART Housing Is

SMART Housing (Safe, Mixed-Income, Accessible, Reasonably-priced, Transit-oriented) is a City of Austin incentive program. It gives developers benefits (fee waivers, expedited permitting, sometimes density bonuses) in exchange for including a percentage of income-qualified units in a new market-rate development.

Why It Matters

SMART Housing units are often in newer, market-rate buildings you wouldn’t necessarily think of as “affordable”. They sit inside luxury-adjacent developments, sometimes downtown, near transit. That’s a very different vibe than a standalone LIHTC community.

If you qualify by income, SMART Housing gives you access to buildings and neighborhoods you might not otherwise afford.

MFI, Not AMI

SMART Housing uses Median Family Income (MFI) as its qualifying reference, and City of Austin publishes MFI figures each year. In practice MFI and AMI numbers are usually similar but not identical.

Qualification tiers you’ll see: 50% MFI, 60% MFI, 80% MFI, sometimes higher.

SMART Housing vs LIHTC vs Bond

  • SMART: City of Austin program; often in mixed-use market-rate buildings; MFI-based
  • LIHTC: federal (IRS Section 42); usually LIHTC-dedicated properties; AMI-based
  • Bond: state-issued tax-exempt bonds (TDHCA); often paired with 4% LIHTC

A single property can use more than one. A downtown high-rise might have SMART Housing units alongside LIHTC-financed units in the same building.

SMART Housing vs LIHTC rules comparison

Where to Look

  • The City of Austin Housing Department maintains general information
  • Developer websites don’t always highlight SMART Housing units clearly
  • Some buildings have a dedicated affordable-application form separate from the general lease application

We track which Austin buildings currently have SMART Housing openings and match you if the income fits.

What Makes SMART Different Practically

  • Location premium: often downtown, East Austin, or near transit
  • Amenity blend: same amenities as market-rate residents in the same building
  • Application process: sometimes distinct from the general lease flow
  • Waitlists: vary; some open by lottery, some rolling

Start the free intake and mention SMART Housing if you want us to filter for it.

Frequently Asked Questions

What is Austin SMART Housing?
A City of Austin program that incentivizes developers to include income-qualified units in new market-rate developments. Qualification is based on Median Family Income (MFI) for the Austin area, similar to but distinct from HUD AMI.
How is SMART Housing different from LIHTC?
SMART Housing is a city program; LIHTC is federal. Some properties use one, some the other, some both. Rent caps and eligibility thresholds can differ.
How do I find SMART Housing units?
The City of Austin Housing Department maintains resources, but availability is scattered across many private developments. We identify which units are open in your budget and household.

Related Guides

Austin Waitlists: Which Are Open and How Long

Which Austin waitlists tend to open and how long is the wait? HACA notes and a multi-property strategy so you're not stuck on one closed list.

Austin AMI Income Limits & Who Qualifies

Austin-area AMI income limits by household size, with 50% and 60% examples, so you know if you qualify in Austin.

Which Austin Communities Are Accepting Applications Now

We track open vs. closed and lease-up Austin communities, then send you current matches. Ask for today's list, free.
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