That's why we keep our work free. "Chapter 10 Housing Quality Standards," Pages 25-26. If Californias notoriously rancorous state Legislature wants to require participation in Section 8, it can do what other states have done and say so directly. The Section 8 application process involves providing personal details, like name, Social Security number and income. Your property must meet the PHAs minimum standards for health and safety. Under the program, the government pays a portion of your rent. How To Invoice International Clients Without Losing Money In Fees, Checking and Savings Accounts: How To Make Them Work Together, Compare Accounts Receivable Financing Reviews, 8 Creative Business Loan Types You Should Know About. Private landlords can raise the rent for Section 8 apartments and houses. Finding out whether youre eligible for a Section 8 housing benefit isnt always easy. The family chooses a home where the landlord has agreed to accept Section 8 benefits. The U.S. Department of Housing and Urban Development (HUD) provides funds to local public housing agencies, or PHAs, who in turn issue vouchers to qualifying renters. You must respond to any maintenance requests, address any health or safety concerns, and handle any complaints they may have about other tenants. Normally, this prohibition prevents a landlord from refusing to rent to someone who receives Supplemental Security Income (SSI) payments, alimony or money from any other legitimate source. Changes in the law may or may not impact landlords' rights regarding acceptance of Section 8 participants. It just seems like theres discrimination against Section 8. Get a free consultation from a leading tax expert, Compare Business Checking Accounts Reviews. Through New York's Housing Choice Voucher (HCV) program, the federal . For more information on accepting section 8, check out this video: Ultimately, the thing that matters most about Section 8 housing is not whether or not you are required to accept these vouchers. The PHA signs a lease with private landlords and pays a piece of the rent, while tenants must pay the difference. The form requests basic information including: The Request for Approval Form is the first step in getting your property approved for a Section 8 tenant. A Section 8 tenant cannot live in your property until your property is approved by the Section 8 office. Long-Term Rentals: the Pros and Cons 8 Winterizing Tips for Your Home & Rental 5 Ways to Finance Your Next Investment Property. The program assists not only low-income families but low-income elderly and disabled tenants as well. But just because a prospect asks such a question doesn't mean the answer is up to you. Sharita, a Section 8 voucher recipient who lives in Memphis, Tennessee, with her six children, told me earlier this year that shes experienced frequent discrimination. The housing authorities will contact you once you reach the top of the list. Currently 15 states, now including Washington, ban housing discrimination based on a person's source of income; four others use tax and other incentives to persuade landlords to accept public. Landlords are encouraged to screen Section 8 recipients in the same way they would other prospective tenants. If a landlord requires an income threshold, any rent subsidy must be . The main thing that we would like to emphasize is that you are never required to accept a tenant just because they apply to rent your property and have a special voucher. No. When prospective tenants ask if you take Section 8, they want to know if you would accept part of their rent through the Housing Choice Voucher Program (still commonly known as the tenant-based Section 8 program). The Fair Housing Act (FHA) (42 U.S. Code 3601-3619 and 3631), a federal law, doesn't bar landlords from discriminating based on Section 8. We are available 7 days a week to answer your questions and to receive your feedback, ezLandlordForms products and services are reviewed and approved by attorneys, accountants, fellow landlords, or industry experts. Some states require private landlords to accept vouchers. Before we get into the pros and cons of accepting Section 8 tenants, lets review what section 8 is and how it may affect your business. Proposed State Bill Says Landlords Couldn't Be Required To Take Section 8 Reverse Mortgages: When Do They Make Sense? A Section 8 renter can't live there otherwise. "Last year, we had 19,000 evictions filed in the state of Iowa. If a landlord is found to have violated the rule, that property owner is liable for up to 4 times the monthly rent, plus court fees and attorney costs. The appeal is easy to understand, and makes for easily-digested soundbytes, especially for novice landlords. Youll have to fill out any paperwork required by the local PHA. Once youve been approved and put a screening process in place to. While Section 8 pays part of the rent to make finding a place to live much more affordable, it doesn't cover everything. After getting your initial questions answered, you can follow these general steps: To begin the Section 8 landlord qualification process, contact your local PHA for the paperwork. Named for Section 8 of the U.S. Housing Act of 1937, the law allocates taxpayer funding to help states address the shortage of decent and safe affordable housing for low-income families. HUD's Housing Choice Voucher Program, also known as Section 8, helps low-income people afford homes to rent, whether it's an apartment, single-family house or townhouse. And, they can only raise the rent once a year. Compare real offers from multiple lenders. The biggest concern that landlords have is about whether or not they can trust tenants with limited income to pay their rent in full in a timely manner. In a sense, you must be more diligent when dealing with Section 8 tenants because you and your property will be scrutinized by the Public Housing Authority and by HUD. Under SB 329 and SB 222, all landlords in California will be required to accept Section 8 and VASH vouchers and other forms of rental assistance and to consider them as part of an applicant's income.Both went into effect on January 1, 2020. Copyright 2023 SuperMoney, LLC. We use cookies and other tracking technologies to improve your browsing experience on our site, show personalized content and targeted ads, analyze site traffic, and understand where our audiences come from. Before you follow a policy of turning away prospects with Section 8 vouchers, you should first take a moment to find out whether what you're doing is legal. There is a long wait to receive housing assistance, with many waiting. You will need to determine if low vacancy rates make up for the lower price point. However, some fair housing lawyers argue that discriminating against voucher recipients has a disparate impact on protected groups that disproportionately make up the program, such as families with children, Black Americans, and people with disabilities thereby making source-of-income discrimination unconstitutional. We are continuously working to improve the accessibility of our web experience for everyone, and we welcome feedback and accommodation requests. The Section 8 program determines how much to pay private landlords based on several factors, including how much apartments and houses typically rent for in the area, and the PHA determines the maximum amount they'll pay. Everyone deserves to live in a decent, safe, and sanitary home. Their use does not signify or suggest the endorsement, affiliation, or sponsorship, of or by SuperMoney or them of us. Section 8 offers a rent subsidy, but the benefit isnt paid directly to recipients in cash. Theyll review a tenants income level and may uncover issues like criminal history. Have more questions about being a landlord? Compare rates from multiple vetted lenders. Just like with any other renter, private landlords must follow the lease agreement when they accept Section 8. Federal Register. Tenants pay the difference between the rent payment and what the voucher covers. What is Bluesky, and why is everyone on Twitter talking about it? These jurisdictions are: States with SOI Discrimination Protection for Section 8 Housing Choice Voucher Holders Connecticut District Of Columbia Maine Massachusetts New Jersey New York North Dakota Oklahoma Oregon Vermont Washington2 Counties with SOI Discrimination Protection for Section 8 Housing Choice Voucher Holders Marin County, CA How to Become a Section 8 Landlord | Zillow Rental Manager Section 8 Housing - Ultimate Guide for Landlords and Tenants Still, there are plenty of landlords who court Section 8 tenants because of the guaranteed on-time payments, and in some cases, higher rents paid by the government. Certain states, such as Massachusetts, require that all landlords accept Section 8 tenants. You need to know if this is a requirement in your state so that you are not accused of violating the law if you refuse to rent to tenants with these vouchers. How long it takes to be approved varies from one PHA to another. Find Your Best Match for Student Loan Refinancing. All rights reserved. An argument of just this kind was recently settled by an appellate court in California, which has a ban on source-of-income discrimination. In some cases, a PHA may allow a family to use a Section 8 benefit topurchasea modestly priced home. "Our numbers show that around . "Section 4:Unlawful Practices." Accessed Nov. 17, 2020. Alas, you may not live in one of these four states. Maintain the rental property per HUD's Housing Quality Standards. The federal law that established Section 8 does not require landlords to participate in the program. According to the Center on Budget and Policy Priorities, 5.2 million people nationwide receive vouchers from the program that cover some portion of their rent. All products, logos, and company names are trademarks or registered trademarks of their respective holders. Enacted in the early 1970s, this program is managed by the Department of Housing and Urban Development. After getting your initial questions answered, you can follow these general steps: Once your application is approved, the housing authority will set up an inspection to visit your property and make sure it meets, Under the Section 8 rules, owners may screen tenants for factors such as payment of rent; care for the rental unit and premises; respect for other tenants rights to the peaceful enjoyment of their premises; and drug-related criminal activity or other criminal activity that is a threat to the health, safety or property of others. An inconclusive result generally means they need more information from the property owner. When asked about his past interactions with Section 8, ezLandlordForms Brian Davis (no relation) expressed frustration with his experience, in which inspectors consistently required about $2,000 worth of repairs for each property, each year, as a simple and effective way of proving that they had visited each property on their rounds. Getting a Business Loan When You Have Bad Credit. Tenants in positions like yours have used creative arguments to support their theory that the landlord must participate in the program. A landlord will submit a tenancy request with HUD that includes the address of the apartments or other rental properties, projected lease start date, the tenant's rent and any included utilities. In an online debate about whether renting to Section 8 tenants is a good idea, a first-time landlord offered up video footage to support his emphatic vote against it. The Housing Choice Voucher program, commonly known as Section 8 because it is part of the larger Section 8 program, is a federal housing assistance program that subsidizes a tenants rent payment in order to help low-income renters access safe, decent and sanitary housing. Accessed Nov. 17, 2020. If a family already occupies a home that meets those standards and the landlord accepts Section 8 vouchers, the family can use their Section 8 benefit to stay in that home. , effectively subsidizing the rental cost for the tenant. The program benefits private landlords and tenants. To begin receiving Section 8 tenants, start by contacting your local PHA to inquire about Section 8 housing landlord requirements. Compare Home Equity Lines of Credit Reviews. As a result, many low-income families turn to housing vouchers to help cover the cost of the rent. For more information, please consult with an attorney who is familiar with the laws in your area. Get helpful tips and articles on our. Many apartments and houses around the country will accept Section 8 as long as they meet the federal government's rules and regulations. Named for Section 8 of the U.S. Housing Act of 1937, the law allocates taxpayer funding to help states address the shortage of decent and safe affordable housing for low-income families. One such argument is based on the states ban (if there is one) on discrimination on the basis of source of income.. A second-generation native of Los Angeles, Geffner now lives in Ventura, California, a surf city northwest of her hometown. Did You Hear About the Landlord That Left How to Screen & Select Qualified Applicants, The Best Online Real Estate Investing Courses. Thats an expensive price for landlords to pay for timely rent payments. Whether it's apartments or a single-family home, a landlord still screens renters when they accept Section 8. It is important to follow proper protocol when evicting a tenant. Becoming a Section 8 landlord can open up a new group of renters to you. You should not rely on it for any purpose without consulting a licensed attorney in your jurisdiction. Savings vs. Money Market? Once a Section 8-qualified renter signs a lease at an approved residence, the PHA pays a portion or the entirety of the rent directly to the landlord or property manager, effectively subsidizing the rental cost for the tenant. Do Landlords Have To Accept Section 8? (Rules and Benefits) - RentPrep Renters who receive Section 8 must contribute to their rent, as well. Your listing will appear on Zillow, Trulia and HotPads. To apply for a Section 8 housing benefit, youll have to contact your local PHA since all the applications are handled at the local level. Landlords in Colorado: What You Need to Know About the States Anti-Price Gouging Law, Worried About Paying Your Mortgage? In the right situation, however, tenants that have hit hard times will have a Section 8 housing voucher they can use to rent approved properties. Under the Section 8 rules, owners may screen tenants for factors such as payment of rent; care for the rental unit and premises; respect for other tenants rights to the peaceful enjoyment of their premises; and drug-related criminal activity or other criminal activity that is a threat to the health, safety or property of others. The law also created a mitigation fund for. The study was conducted by calling 422 local listings that met voucher requirements, meaning apartments similar to what an average voucher-holder would rent. Each state has its own housing authority office, and many cities and counties also have their own PHAs.