Section 8 Information
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Section 8 housing is subsidized by the federal government under programs authorized in Section 8 of the U.S. Housing Act of 1937, as amended. Several housing assistance programs exist under Section 8 and generally fall into two broad categories:
1. Section 8 project-based assistance, ties the housing subsidy to specific units in specific properties (projects) for which eligible families may apply for residency. The project-based assistance program is generally viewed as a housing production program, in that the commitment of federal subsidy is commonly used as a method of financing the construction of new affordable housing units.
2. The second broad program category is Section 8 tenant-based assistance. In this form of assistance, the housing subsidy is tied to the tenant so that eligible families are guaranteed federal assistance for any housing unit that meets with general program requirements. Currently, the Housing Choice Voucher Program is the primary Section 8 tenant-based assistance program, and the federal governments major program of housing assistance for low-income families.
The Section 8 Program is limited to U.S. citizens and some categories of non-citizens and is determined based on total annual gross income and family size. In general, the family’s income may not exceed 50% of the median income for the metropolitan area or county in which the family chooses to live.
By law, 75% of available vouchers each year must go to families with income at or below 30% of the area median income (AMI). Median income levels vary by location and are published annually by HUD. Tenant selection and occupancy policies permit the Property Owners and Housing Authorities to examine an applicants history, including criminal background, to ensure selection of a responsible tenant. In addition, the Housing Authorities have the power to deny admission or to terminate assistance to individuals with a history of use or abuse of drugs or alcohol, or of criminal behavior that interferes with the peaceful enjoyment of the premises by other residents. Criminal background checks are permissible.
In general, the Section 8 tenant-based program works as a rent subsidy to the families allowing families to pay a reasonable share of income for rent with the government making up the difference up to a specific limit.
Families with Section 8 vouchers find their own housing and pay a percentage of their income for rent. Housing Authority pays the property owners the rest of the rent. (Explained more in Payment paragraph below).
A family may choose a unit with a higher rent than the subsidy limit allows and pay the landlord the difference, but cannot generally pay more than 40% of income in moving to a new unit (explained more in the Maximum Rent paragraph below).
In some Public Housing Authorities, it is against the law to refuse to rent to someone just because the person has a Section 8 voucher.
- A family with a current Section 8 voucher views the property and wants to rent it.
- Then, the property owner screens the tenants to make sure they are suitable per property owner requirements.
- If the property owner agrees to lease to the tenants, they must contact the Section 8 office for approval. To expedite the process, the tenant can contact the Housing Authority and provide the information about the property as well.
- The Housing Authority office checks to make sure the family can afford the rent, and that the rent is reasonable compared to other rents in the community, and the lease is acceptable.
- The Housing Authority sends an inspector to check the property to make sure it meets program standards.
- If the unit passes inspection, the Housing Authority office sends the property owner a contract to sign.
- The property owner will then sign the contract with the Housing Authority, and sign the lease with the tenants, and the family moves in.
- The tenant pays their portion of the rent and the Housing Authority pays the rest.
If the property owners would like to rent to Section 8 tenants, the property owner can post the property on acceptsection8.org or contact the nearest Housing Authority and post the property there. It is against the law in some Housing Authorities to refuse to rent to a prospective tenant, just because the tenant has a Section 8 voucher.
The rent charged must be reasonable compared to other units of similar size in the community and must meet housing quality standards (HQS). The Housing Authority office will compare the requested rent to their payment standards, which are based in part on the fair market rents (FMR) in a particular city or town.
The U.S. Department of Housing and Urban Development (HUD) sets the FMR annually for each metropolitan and non-metropolitan area of the country, based on census information or similar data on rental housing prices. Units selected by voucher families must be within the subsidy limit established by the payment standard and the FMR.
- A family must not pay more than 40% of adjusted income for rent when the family first receives Section 8 tenant-based assistance for occupancy of a particular unit.
- If rent is to be increased the rent upon renewing the lease, the Housing Authority must approve. The rent must remain reasonable and within the family’s ability to pay, otherwise the Housing Authority will not approve it.
The property owner must collect the security deposit from the tenant. The Housing Authority (Section 8 program) has no responsibility for damages, unpaid tenant rent, or other claims against the tenant. The maximum security deposit a property owner may collect is one month’s rent.
The property owners must do the screening themselves, just as they would for non-Section 8 tenants. The Housing Authority does not screen Section 8 tenants for property owners. Section 8 tenants should be required to fill out the application and then researched. There are many services available to help screen tenants. These services can check to see if the prospective tenant has a criminal record, been evicted, or bad credit. When checking references, always contact the previous landlord as well as the current landlord, because the current landlord may want the tenants to move out.
The Housing Authority will able to tell property owners the records of the tenant, current and previous address, and current and previous landlord. Some Housing Authorities will also share any other information they have. However, the Housing Authority’s main concern is checking that the applicant meets the income limits and other Section 8 eligibility requirements. Screening the tenant is the landlord’s responsibility.
Property owners must sign a lease with the tenant for a minimum of one year. The lease should contain:
- The names of the landlord and tenant.
- The address of the rental property.
- Term of the lease and how it will be renewed.
- Monthly rent amount.
- Who pays the utilities.
- What appliances are included in the property.
- Tenancy Addendum must be included.
- Property owners may include any other conditions that would normally be included in leases, as long as they do not violate any laws.
The property will be inspected to make sure that it meets the housing standards of the Section 8 program:
- The inspector will examine the exterior of the building, the plumbing and heating systems, the exits and hallways, and each room of your property to make sure the unit is safe, clean, and in good condition. The unit must be vacant at the time of the first inspection, and all utilities must be turned on. The inspector must have access to the unit itself, the basement, and all common areas.
- The inspector uses a checklist form provided by HUD, the federal agency in charge of the Section 8 program. For each item on the list, the inspector marks if the unit passes or fails. If repairs are needed, the inspector marks this on the form.
- A family will not be allowed to rent your property until you have made any needed repairs and the unit passes the inspection. The property will be re-inspected each year. If problems are found, you must make repairs within the time selected or else Housing Authority will stop payments.
enants will be responsible for their portion of the rent each month. Below are general calculations for how much the tenants portion will be:
- A family renting a unit below the payment standard pays as gross rent the highest of: (1) 30% of monthly adjusted income; (2) 10% of monthly gross income; (3) the welfare rent; or (4) the PHA-established statutory minimum rent.
- A family renting a unit above the payment standard pays as gross rent the highest of the above, plus any rent above the payment standard.
The Housing Authority will send the property owner a check for their portion of the rent each month. They will continue to do so as long as the tenant remains eligible for Section 8 and the property meets the Section 8 program standards. The property owner is responsible for collecting the tenant portion of the rent each month.
The Housing Authority may refuse to enter into new payment contracts with owners who refuse to evict families for drug-related, violent criminal, or other activities that threaten the rights of other tenants, PHA employees, owner employees or neighbors.
Property owners must sign a lease with the tenant for a minimum of one year. The lease should contain:
- Any late payment penalties may only be imposed in accordance with generally accepted practices in the local housing market governing penalties for late payment of rent by a tenant.
- Future Housing Authority Payment contracts will provide for penalties against the Housing Authority for late payments to the property owner.
- The Housing Authority may add Housing Authority Payment contract Housing Authority is deemed received by the owner.
- A late payment fee may only be paid from the Housing Authority administrative fee income.
- The Housing Authority is not obligated to pay any late fee if HUD determines that the late payment is due to factors beyond control of the Housing Authority.
- The Housing Authority is not responsible for tenants late payment.
The property owner may evict a Section 8 tenant in the same way a non-Section 8 tenant would be evicted. The same laws apply.
Sanitary: The proposed unit will include a flush toilet, affixed basin and a tub or a shower with hot and cold running water, all in good operating condition, can be used in privacy and are adequate for personal cleanliness and the disposal of human waste.
Food Preparation: A cooking stove or range, a refrigerator, a kitchen sink with hot and cold running water in good operating condition. Adequate space for the storage, preparation and serving of food shall be provided. There shall be adequate facilities and services for the sanitary disposal of food waste.
Space and Security: The proposed unit will contain a living room, kitchen, bathroom and at least one bedroom or living; sleeping room for each two persons. Exterior doors and windows accessible from outside the unit will be lockable. All windows will have screens.
Illumination and Electricity: Living and sleeping rooms will include a minimum of one window. A ceiling or wall type light fixture will be present in bathroom and kitchen. At least two electric outlets, one may be an overhead light, and operable in the living room, kitchen, and each bedroom.
Structure, Design, and Materials: Ceilings, walls, and floors will not have any defects such as severe budging or leaning, large holes, loose surface materials, or other serious damage. The roof will be firm and weather tight. The exterior wall structure and surface will not have any serious defects such as serious leaning, buckling, sagging, cracks or holes, loose siding, or other serious damages. The condition and equipment of exterior and interior stairways, halls, porches, walkways, etc will be free of tripping or falling dangers. Elevators will be maintained in safe and operating order.
Interior Air Quality: The dwelling unit will be free from dangerous levels of pollution from carbon monoxide, sewer gas, fuel gas, dust, and other harmful air pollutants. Air circulation will be adequate throughout the unit. Bathroom areas will have at least one operable window or other adequate exhaust ventilation.
Water Supply: The unit will be served by approved public or private water supply.
Access: The unit will be usable and capable of being maintained without unauthorized use of private properties. The building shall provide an alternative exit in case of fire.
Site and Neighborhood: The site and neighborhood will not be subject to dangerous walks, steps, instability, flooding, poor drainage, septic tank back ups, sewage hazards or mud slides; abnormal air pollution, smoke or dust, excessive accumulation, etc.
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