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Explore the development incentives programs for affordable housing units that are being developed and will be sold to eligible homebuyers. See program info at a glance and links to program pages and how to apply.
Note for Inclusionary Housing projects:
Is the project a residential development with 20 or more new units that may be subject to Inclusionary Housing? If yes, see incentive programs and forms for Inclusionary Housing.
Affordable Housing System Development Charge (SDC) Exemption for Homeownership Projects
Visit program page: Affordable Housing SDC Exemption for Homeownership Projects
SDC Administrative Rules Go to apply
| Program | SDC Exemption |
|---|---|
| Purchase Price Cap | Set annually by PHB through City Council** |
| Household Income Restriction | 100% MFI for a 4-person household, adjusted upwards** |
| Term Length | Initial Sale |
| Application Fee | $1,200 |
| Incentive | Exemption of SDC fees for restricted units |
| City Code | PCC 30.01.095 |
**Income limits and sale price cap adjust annually and are based on review of median sale price and HUD income for the Portland Metropolitan area. Effective August 29, 2026, the homebuyer income limit requirement is temporarily waived for homes approved for the Affordable Housing SDC Exemption Program that were issued a building permit prior to January 1, 2026, and sell to an initial homebuyer prior to September 30, 2028. Note, the temporary income limit waiver does not apply to units that are participating in the Homeownership Opportunity Limited Tax Exemption (HOLTE) Program (PCC Chapter 3.102), Local Transportation Infrastructure Charge (LTIC) Exemption Program (PCC Section 17.88.090), exemption of tree preservation mitigation payments for affordable housing developments (PCC Subsection 11.50.040.C.1.d), Affordable Housing Construction Excise Tax (AHCET) exemption (PCC Chapter 6.08), Inclusionary Housing (IH) Program (PCC Section 30.01.120), Deeper Housing Affordability (DHA) FAR Density Bonus Program (PCC Section 30.01.140), or the Three-Bedroom Unit FAR Density Bonus Option Program (PCC Section 30.01.160). See Ordinance 192210 for additional information.
Homebuyer Opportunity Limited Tax Exemption (HOLTE)
Visit program page: HOLTE program
HOLTE Interim Administrative Rules Go to apply
| Program | HOLTE |
|---|---|
| Unit Requirements | Must have 3+ Bedrooms (some exceptions for 2 bedroom units apply) |
| Purchase Price Cap | $455,000 |
| Household Income Restriction | 100% MFI for a 4-person household, adjusted upwards** |
| Term Length | 10 years |
| Application Fee | Developer: $850 Homebuyer: $1000 |
| Incentive | 10-year Property Tax Exemption on structural improvements |
| City Code | PCC 3.102 |
** Income limits and sale price cap adjust annually and are based on review of median sale price and HUD income for the Portland Metropolitan area.
Deeper Housing Affordability (DHA) Programs
Developers can earn bonus density, which is determined and applied by Bureau of Development Services, Planning and Zoning, by restricting units to be sold at or under the prescribed affordability levels for the DHA Programs outlined below. Applicants should confirm with their Planning and Zoning planner which program is available for their property before applying.
More information: DHA Affordability Requirements
DHA Administrative Rules Builder application
| Program / Dwelling Type / | DHA Single-Dwelling Zones | DHA Single and Multi-Dwelling Zones | Three-Bedroom Bonus Program Multi-Dwelling Zones |
|---|---|---|---|
| Minimum # of restricted units | 1 unit | 50% of units in Building | 50% of units in Building must be 3‑BR and restricted |
| Purchase Price Cap | 80% MFI for Unit Type* | 80% MFI for Unit Type* | 100% MFI for Unit Type* |
| Household Income Restriction | 80% MFI | 80% MFI | 100% MFI |
| Term Length | 10 years | 10 years | 10 years |
| Application Fee | TBD | TBD | TBD |
| Incentive | FAR Bonus under PCC 33.110.210 D.1 | FAR Bonus under PCC 33.110.265 F. and PCC 33.120.211 C.2 | FAR Bonus under PCC 33.120.211 C.3 |
| City Code | PCC 30.01.140 | PCC 30.01.140 | PCC 30.01.160 |
*Purchase price caps adjust annually and are based on the MFI development levels and income levels determined using HUD’s annually published Median Family Income and Rent chart for the Portland Metropolitan area. The annual schedule of sale price caps is published by June of each year.