Why must I have the rent approved for my rental property if I participate in
the Housing Choice Voucher Program?
The Housing Choice Voucher Program requires that the rent to
owner be market comparable. The rent to owner is the total of the tenant's
portion of the rent and the subsidy paid by the Housing Authority.
This means that the rent paid to owner cannot be more than
what would be charged to non-assisted tenants for a similar rental unit. To
determine a comparable rental unit, the local Housing Authority will take the
following into consideration:
-
The location, quality, size, unit type, and age of the
rental property.
-
Any amenities, housing services, maintenance, and
utilities provided and paid by the owner.
-
Other comparable rental properties' verifiable contract
rent.
-
Market conditions.
The local Housing Authority may approve the amount of rent
requested based on market comparables IF the client you have selected qualifies
for your rental unit.
How will I know if the tenant I select can qualify for my
rental unit?
Each family is issued a Voucher. The Voucher is proof that
the family has certified their income and family composition with the local
Housing Authority.
The Voucher informs you what size unit (bedroom size) the
family is eligible for, and the Maximum Contract Rent to owner the family will
be approved for.
What if the Maximum Contract Rent is less than the market
comparable, or the amount of rent I want for my rental unit? Can the family pays
the difference?
The family CANNOT pay the difference, no matter how small.
Regulations state that the family cannot pay more than 40% of
their Monthly Adjusted Income towards their portion of the rent and utilities in
the first year of the lease. We will calculate the maximum amount of rent to
owner that will not put the family over the "40% rule." This number is
reflected as the Maximum Contract Rent on the family's Voucher.
If you still want to rent to the family, even if they do not
qualify for the original amount of rent, you may do so by reducing your rent to
an amount that would not put the family over their 40% of Monthly Adjusted
Income.
How long until I can request a rental increase?
The contract with the Housing Authority is for one year, and automatically
goes Month to Month thereafter. You may request an increase in the rent to owner
after the first year of the lease. This is done by serving a 60-day notice of
rental increase to the family, and sending a copy to the Housing Authority. At
which time, the Housing Authority will again review your request to see if it is
market comparable. You will be notified by mail once your request has been
approved.
What if the family's voucher has a different unit (bedroom) size than my
rental unit? Can they still be approved for my rental unit?
Maybe. The Housing Authority will have to review the request. In all cases
the 40% rule must still apply.
|