The Texas Department of Housing and Community Affairs primarily serves individual housing needs, but several TDHCA programs create direct opportunities for Texas businesses — particularly in construction, real estate development, housing services, and community development industries.
Housing Tax Credit Program (LIHTC)
TDHCA administers the federal Low-Income Housing Tax Credit (LIHTC) program in Texas, the single largest source of affordable housing development funding in the state. LIHTC creates business opportunities through:
- Development opportunities: Developers apply for tax credit allocations to build or rehabilitate affordable housing projects
- Construction contracts: LIHTC projects generate billions in construction contracting opportunities
- Property management: Completed LIHTC projects require ongoing management and maintenance services
- Professional services: Architects, engineers, attorneys, accountants, and market analysts support LIHTC development
Multifamily Housing Revenue Bonds
TDHCA issues tax-exempt bonds for multifamily housing development, providing below-market financing for qualifying projects. These bonds create development and construction opportunities similar to LIHTC.
HOME Investment Partnerships Program
TDHCA administers federal HOME funds for affordable housing activities including:
- New construction and rehabilitation of affordable housing
- Tenant-based rental assistance
- Homebuyer assistance programs administered through local organizations
Community Services Block Grant (CSBG)
TDHCA distributes CSBG funds to Community Action Agencies across Texas. These agencies provide services including:
- Microenterprise development and small business assistance
- Financial literacy and asset-building programs
- Emergency assistance for low-income individuals
- Housing counseling and weatherization referrals
Weatherization Assistance Program
TDHCA's Weatherization program funds energy efficiency improvements in low-income housing, creating contracting opportunities for:
- HVAC contractors
- Insulation installers
- Window and door installers
- Energy auditors
- Building envelope specialists
Section 8 Housing Choice Voucher Program
TDHCA administers Housing Choice Vouchers in areas without local housing authorities. Landlords and property management companies can participate as Section 8 housing providers, receiving guaranteed rental payments for qualifying tenants.
Community Development Programs
- Housing Trust Fund: State-funded program for affordable housing development
- Amy Young Barrier Removal Program: Grants for accessibility modifications, creating work for accessibility contractors
- Homeless Housing and Services Program: Funding for organizations serving homeless populations
How Texas Businesses Access TDHCA Programs
- For developers: Monitor TDHCA's Qualified Allocation Plan and application cycles for LIHTC and bond financing
- For contractors: Register with TDHCA-funded developers and Community Action Agencies for construction and weatherization work
- For landlords: Contact TDHCA about Section 8 Housing Choice Voucher participation in your area
- For service providers: Connect with Community Action Agencies about CSBG-funded service contracts
Bottom Line
TDHCA programs create significant business opportunities in construction, real estate development, property management, and housing services. Understanding LIHTC allocations, bond financing, weatherization contracting, and community development programs opens doors for Texas businesses in housing-related industries.
Our screening report identifies which state programs may apply to your Texas business. Start your free screening →