LIHTC Market Study Requirements in Indiana

The agency & primary document

Allocating agency

Indiana Housing and Community Development Authority (IHCDA)

QAP / guidelines

https://www.in.gov/ihcda/developers/housing-tax-credits/

Governing document

2026-2027 QAP + Schedule C — Market Study Requirements (19-page separate document in Schedules zip)

Methodology

NCHMA Model Content Standards

Required market study sections

Indiana market studies follow the NCHMA Model Content Standards. The required sections are:

• Executive Summary — Concise summary of each section including data, analysis, and conclusions. 11 minimum content items including feasibility opinion, strengths/weaknesses, absorption estimate.
• Introduction and Scope of Work — Purpose, intended use, intended users, scope of work, effective date, physical inspection date.
• Project Description — Unit mix, utilities, target market, unit and community amenities, construction date. If rehab: scope of work, existing rents and vacancies.
• Location — Site description, site photos/maps, community services map, neighborhood evaluation (visibility, accessibility, crime).
• Market Area Definition — PMA description and rationale, PMA map. Extended/secondary market area if applicable.
• Employment and Economy — Employment trends, employment by sector, unemployment rates, major employers and proximity, planned expansions/reductions.
• Demographic Characteristics — Population and household estimates/projections, building permits, household characteristics (income, tenure, size). Senior/special needs: target-market data.
• Competitive Environment — Comparable profiles and photos, map of comps, vacancy and rents analysis, subject comparison, affordable housing alternatives, pipeline projects.
• Affordability Analysis, Demand Analysis, Capture Rates, and Penetration Rates — Demand estimate, affordability analysis, capture rate, penetration rate.
• Local Perspective of Rental Housing Market and Housing Alternatives — NEW in MCS 3.1 (September 2025). Local market context and housing alternatives beyond standard comparable analysis.
• Analysis / Conclusions — Absorption rate and lease-up timeline, market feasibility statement, strengths and weaknesses, key conclusions reconciling any conflicting indicators, recommendations if any.
• Other Requirements — Analyst qualifications, data sources, physical inspection date, limiting conditions, signed certification.

Key Indiana rules

Indiana-specific overlays

• NCHMA membership required of all analysts
• NCHMA Scope of Work used as prescribed intro format
• Three analyst project-type approvals required: general affordable, permanent supportive, or assisted living/residential care — analyst must be on approved list for the specific project type
• Schedule C §I prescribes affordability/demand/capture framework
• 11 prescribed Executive Summary elements required

Required companion documents

• NCHMA Market Study Checklist (required companion deliverable)
• NCHMA Member Certification (required companion)

Things analysts miss in Indiana

• Schedule C is inside a Schedules ZIP file, not a standalone PDF — download the full Schedules zip to access it

Frequently asked questions

Who reviews LIHTC market studies in Indiana?

Indiana Housing and Community Development Authority (IHCDA) sets the market study requirements and reviews submissions for Indiana Low-Income Housing Tax Credit applications.

How current must a Indiana LIHTC market study be?

Biennial cycle (2026-2027)

Does Indiana follow NCHMA standards?

Indiana market studies follow the NCHMA Model Content Standards section structure — Indiana uses its own methodology with NCHMA acknowledgment. State requirements control where they differ from NCHMA..

Other states

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This summary is for general reference and reflects Indiana Housing and Community Development Authority (IHCDA)'s published guidance as understood by StudyScribe; it is not legal or compliance advice. Always confirm requirements against the current QAP / market study guidelines before submission.