The South Carolina housing-finance ecosystem
South Carolina's housing pipeline draws on a mix of state agencies, federal pass-through programs, and local frameworks. Programs span the full spectrum: low-income rental, supportive housing for special-needs populations, workforce / missing-middle housing, homelessness prevention, first-time homebuyer assistance, mixed-use redevelopment, and disaster recovery. Below is a directory of every currently-active state-level and major-local program, organized by administering agency.
SC State Housing Finance and Development Authority (SC Housing)
SC Housing is South Carolina's state housing finance authority, allocating federal LIHTC, issuing multifamily and single-family bonds, and administering the South Carolina Housing Trust Fund plus federal HOME, NHTF, and ESG pass-throughs.
Federal 9% LIHTC
Competitive · RentalSC Housing allocates South Carolina's federal 9% LIHTC ceiling — approximately $18.3 million in 2026 following OBBBA's 12% increase. Annual competitive QAP process.
4% LIHTC + Multifamily Bonds
Non-competitive · BondsNon-competitive 4% LIHTC paired with SC Housing-issued multifamily revenue bonds.
SC Housing Trust Fund
State capital subsidy · Deed recording feesSouth Carolina's state-funded housing trust fund, supported by deed recording fees. Provides flexible funding for affordable housing development, homelessness response, and supportive housing.
HOME Investment Partnerships
Federal pass-throughSC Housing administers South Carolina's HOME allocation, primarily for multifamily rental development paired with LIHTC.
National Housing Trust Fund (NHTF)
Federal pass-through · ELISC Housing administers South Carolina's NHTF allocation for housing serving extremely-low-income households.
Section 811 Project Rental Assistance
Operating subsidy · DisabilitySC Housing administers South Carolina's HUD Section 811 PRA allocation for extremely-low-income persons with disabilities.
Emergency Solutions Grant (ESG)
Federal · HomelessnessSC Housing administers South Carolina's federal ESG allocation for emergency shelter, rapid rehousing, and homelessness prevention.
HOPWA Administration
HIV/AIDS housingSC Housing administers South Carolina's portion of HOPWA funds for housing and supportive services for households living with HIV/AIDS.
Permanent Supportive Housing
Supportive housing · CoordinatedSC Housing capital subsidy for permanent supportive housing combined with operating subsidies from the SC Department of Mental Health and Department of Health and Human Services.
SC Housing Home Buyer Program
Homeownership · Below-market mortgageSC Housing's flagship single-family first-mortgage product offering below-market rates through participating lenders. Combinable with DPA programs.
SC Housing Down Payment Assistance
Homeownership · DPASC Housing's down-payment assistance programs providing forgivable second-mortgage assistance combinable with SC Housing first mortgages.
SC Mortgage Credit Certificate
Homeownership · Federal tax creditFederal income-tax credit for eligible first-time buyers equal to a percentage of mortgage interest paid annually.
SC Department of Commerce & related state agencies
SC Department of Commerce administers federal CDBG, and several state tax credit programs interact with housing development. South Carolina has significant CDBG-DR pipeline activity for flood and hurricane recovery.
CDBG (state-administered)
Federal pass-through · Non-entitlementSC Department of Commerce administers federal CDBG for non-entitlement South Carolina communities.
CDBG Disaster Recovery
Federal disaster recoverySouth Carolina CDBG-DR allocations for hurricane and flood recovery (Hurricane Matthew, Hurricane Florence, 1,000-Year Flood). Active homeowner rebuilding and rental housing recovery programs.
Abandoned Buildings Revitalization Tax Credit
State tax credit · Adaptive reuseSouth Carolina's state tax credit for revitalization of abandoned buildings (typically 25% of qualified expenditures). Pairs with federal HTC and 4% LIHTC for adaptive-reuse housing development.
South Carolina Historic Rehabilitation Tax Credit
State tax credit · Historic rehabSouth Carolina state historic tax credit for rehabilitation of certified historic structures. Pairs with federal HTC and 4% LIHTC for adaptive-reuse housing developments.
Charleston, Columbia, and major SC local programs
Charleston, Columbia, and other major South Carolina cities operate substantial local affordable housing programs.
City of Charleston Affordable Housing
Local subsidy · Trust fundCharleston operates affordable housing programs through the Department of Housing and Community Development supporting multifamily and homeownership development.
City of Columbia Affordable Housing
Local subsidyColumbia's affordable housing programs through the Office of Business Opportunities supporting multifamily and homeownership development.
Greenville Housing
Local subsidyCity of Greenville's affordable housing programs combining federal HOME and CDBG resources with local subsidy programs.
How South Carolina programs typically combine
Programs combine differently depending on what you're building. A short reference of representative stacks across the program-type spectrum:
- Statewide 9% LIHTC: 9% LIHTC + SC Housing Trust Fund + HOME.
- 4% LIHTC + bonds: 4% LIHTC + SC Housing bonds + Housing Trust Fund.
- Historic adaptive reuse (Charleston): Federal HTC + SC Historic TC + Abandoned Buildings Revitalization TC + 4% LIHTC + bonds.
- Hurricane recovery rental: CDBG-DR + 4% LIHTC + SC Housing bonds + Housing Trust Fund.
- Permanent supportive housing: 9% LIHTC + Section 811 PRA + DMH operating subsidy + Housing Trust Fund.
- First-time homebuyer: SC Housing Home Buyer Program + DPA + MCC.
Post-OBBBA implications
- Permanent 12% LIHTC increase: South Carolina's annual 9% LIHTC ceiling is permanently larger starting 2026.
- 25% PAB financed-by test: for bonds issued after December 31, 2025, materially expanding the pipeline of 4% LIHTC deals that can be supported per dollar of bond volume cap.
- Permanent OZ designations: Qualified Opportunity Zone designations gain permanence; Rural OZ provisions may apply in qualifying portions of the state.
- Section 45L / 179D termination (June 30, 2026): Developers pursuing energy-efficient construction should accelerate placed-in-service dates.
This is educational reference material for affordable-housing practitioners, not legal, tax, financial, or investment advice. State program details, funding levels, and rules change frequently — consult the relevant state agencies and qualified counsel before structuring any transaction. See Disclaimer.