For purposes of the preceding sentence, in applying section 267(b) or 707(b)(1), 10 percent shall be substituted for 50 percent . (3) Applicable area The term applicable area means— (A) in the case of a metropolitan census tract, the metropolitan area in which such census tract is located, and (B) in the case of a census tract other than a census tract described in subparagraph (A), the State. (4) Substantial rehabilitation The term substantial rehabilitation means rehabilitation efforts involving qualified development costs that are not less than the greater of— (A) $20,000, and (B) 20 percent of the cost of acquiring buildings and land. (5) Qualified completion event The term qualified completion event means— (A) in the case of a residence that is built or substantially rehabilitated as part of a qualified project and sold, an affordable sale, or (B) in the case of a residence that is substantially rehabilitated as part of a qualified project and owned by the same qualified homeowner throughout such rehabilitation, the completion of such rehabilitation (as determined by the neighborhood homes credit agency) to the standards promulgated under subsection (h)(1)(D). (6) Qualified homeowner (A) In general The term qualified homeowner means, with respect to a residence, an individual— (i) who owns and uses such residence as the principal residence of such individual, and (ii) whose income is 140 percent or less of the applicable area median gross income for the location of the residence. (B) Ownership For purposes of a cooperative housing corporation (as such term is defined in section 216(b)), a tenant-stockholder shall be treated as owning the house or apartment which such person is entitled to occupy. (C) Income For purposes of this paragraph, income shall be a determined in accordance with section 143(f)(2) and 143(f)(4). (D) Timing For purposes of this paragraph, the income of a taxpayer shall be determined— (i) in the case of a residence that is built or substantially rehabilitated as part of a qualified