ATLANTA - The South Carolina State Housing Finance and Development Authority yesterday moved forward with a $45 million mortgage revenue bond deal that was delayed last week as HFDA officials waited to see the outcome of housing stimulus legislation in the U.S. Congress.
President Bush yesterday signed the legislation into law. The key for housing authorities like the HFDA is the provision in the new law that exempts housing bonds from the alternative minimum tax. The new law also gives states an additional $11 billion of capacity for housing bonds under the private activity bond cap. The legislation allows for proceeds of tax-exempt bond sales to be used for low-income rental housing. Provision is also made for the temporary refinancing of subprime mortgages.