Massachusetts Programs

Government Grants & Incentives for Real Estate Investors in Boston

Boston's high housing costs have driven aggressive affordable housing policies, with MassHousing's LIHTC program and the city's Inclusionary Development Policy creating layered incentives. The Boston Planning & Development Agency supports qualifying projects with density bonuses.

15 designated tracts
Opportunity Zones
$2,489
Section 8 (2-BR)
LIHTC
Tax Credits Available
4
Local Programs

State Housing Finance Agency

MassHousing / Massachusetts DHCD

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Public Housing Authority

Boston Housing Authority (BHA)

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Local Programs

Boston Government Incentive Programs

These programs are available specifically to investors and developers in the Boston, MA market.

Boston IDP (Inclusionary Development Policy)

Requires 13% affordable units in projects over 10 units, with linkage fees funding the city's affordable housing trust.

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MassHousing / DHCD LIHTC Program

Massachusetts allocates one of the larger LIHTC pools in the Northeast, with Boston receiving significant allocation.

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Boston Neighborhood Housing Trust

Dedicated trust fund providing gap financing for affordable housing development in Boston neighborhoods.

Community Preservation Act (CPA) Funds

Property tax surcharge generating dedicated funds for affordable housing, historic preservation, and open space.

LIHTC Tax Credits in Massachusetts

Low-Income Housing Tax Credits are the largest source of affordable housing financing in the U.S. In Massachusetts, credits are allocated by DHCD / MassHousing.

How LIHTC Works

  • Dollar-for-dollar federal tax credit over 10 years
  • 9% competitive credits for new construction
  • 4% credits paired with tax-exempt bonds
  • 15-year compliance period for affordable rents

Massachusetts Allocator

Credits are allocated by DHCD / MassHousing through their Qualified Allocation Plan (QAP), which outlines scoring criteria and priorities.

View DHCD / MassHousing LIHTC Program
Investor Tips

Why Invest in Boston?

Very high Section 8 payment standards ($2,489 for 2-BR) support strong cash flow

CPA funds provide an additional financing layer unique to Massachusetts

IDP linkage fees create a dedicated affordable housing funding stream

15 Opportunity Zones in neighborhoods like Roxbury, Dorchester, and Mattapan

Finance Government-Incentivized Properties in Boston

FundNow Capital provides DSCR loans, bridge financing, and portfolio loans that complement government incentive programs in Boston.

DSCR Loans

Qualify using Section 8 rental income — government-backed rents strengthen your DSCR ratio.

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Bridge Loans

Short-term financing to acquire and stabilize properties before permanent LIHTC or agency financing.

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Portfolio Loans

Finance multiple properties in Boston's Opportunity Zones under a single loan structure.

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Frequently Asked Questions

Get Financing for Investment Properties in Boston

Tell us about your Boston investment plans. We'll match you with the best financing options within 24 hours.

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