Tennessee Programs

Government Grants & Incentives for Real Estate Investors in Memphis

Memphis offers some of the most affordable housing stock in any major U.S. city, combined with Tennessee's no income tax advantage and THDA's LIHTC program. The city's PILOT program and Opportunity Zones create compelling incentive packages.

28 designated tracts
Opportunity Zones
$1,040
Section 8 (2-BR)
LIHTC
Tax Credits Available
4
Local Programs

State Housing Finance Agency

Tennessee Housing Development Agency (THDA)

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Public Housing Authority

Memphis Housing Authority (MHA)

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Local Programs

Memphis Government Incentive Programs

These programs are available specifically to investors and developers in the Memphis, TN market.

Memphis PILOT (Payment In Lieu of Taxes)

Tax abatement program reducing property taxes for qualifying affordable and economic development projects.

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THDA LIHTC Program

Tennessee allocates LIHTC credits through THDA, with Memphis receiving allocation for affordable multifamily development.

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Memphis Medical District Collaborative

Incentive programs for housing and commercial development in the Medical District area surrounding hospitals and universities.

Shelby County CDBG/HOME

Federal community development funds for affordable housing and neighborhood revitalization in Shelby County.

LIHTC Tax Credits in Tennessee

Low-Income Housing Tax Credits are the largest source of affordable housing financing in the U.S. In Tennessee, credits are allocated by THDA.

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

Tennessee Allocator

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

View THDA LIHTC Program
Investor Tips

Why Invest in Memphis?

No state income tax maximizes investor returns

28 Opportunity Zones — one of the highest concentrations in any Southern city

PILOT program significantly reduces property tax burden

Some of the most affordable housing stock in any major U.S. metro

Finance Government-Incentivized Properties in Memphis

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

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 Memphis's Opportunity Zones under a single loan structure.

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Frequently Asked Questions

Get Financing for Investment Properties in Memphis

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

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