It’s often challenging to secure an apartment when you’re in a tight spot financially. Fortunately, certain government programs make it possible for low-income individuals to find quality housing for their families. Section 8 and Section 42 are two government programs at your disposal, and this guide explains the differences between them so that you can make the best decision for your housing needs.

Section 8

Secure, affordable housing must be available to all Americans. This is the basis behind the housing choice voucher program, also known as Section 8. Public housing agencies, which are sometimes referred to as PHAs, provide funding in the form of vouchers with the support of the U.S. Department of Housing and Urban Development (HUD). Vouchers are good for a range of housing types, including homes and apartments.

To determine eligibility, the local PHA will evaluate the size of your family and your gross annual income, which will be compared to the median income in the area. If approved, you’ll be responsible for 30% of housing costs, while the voucher provided by the PHA will take care of the rest. However, you may be put on a waitlist, especially if the demand is high where you want to live.

Section 42

The Low-Income Housing Tax Credit (LIHTC) was also developed by HUD as a way to assist low-income families with finding the appropriate housing for their needs. State and local agencies receive an $8 million budget each year, which must be applied to the purchase, construction, or rehab of housing suited to people with low incomes. Owners and developers of Section 42 housing receive a tax credit, which incentivizes their program participation.

Applicants must have an annual gross income that’s 60% or less than the median income in the area. Unlike Section 8, those deemed eligible for Section 42 won’t receive rental assistance. Instead, they’ll be subject to a fixed rental amount while living in the property.

If you’re looking for safe and affordable Section 8 housing for your family, turn to Executive Estates Apartments in Fairbanks, AK. This community offers affordable one- and two-bedroom units that are equipped with essential kitchen appliances, like ovens and refrigerators. As a resident, you’ll also enjoy access to an on-site playground and basketball court. To start your application, visit them online or call (907) 479-3655.