What is Section 8 Housing?

It is a subsidized housing program that is financed by the federal government of the United States. The program assists individuals and families whose income is low, less than fifty percent of the median income for the area where they live. The Section 8 housing program is part of the 1937 U.S. Housing Act.

In 1974, the program was amended to created the Section 8 part. Over one million households participate in this housing assistance program in the U.S. This housing program is run by the Department of Housing and Urban Development, also know as, HUD. It is also run locally by the Public Housing Agency along with some other local organizations. Since 1983, the Section 8 housing assistance program has required participants who qualify, to pay approximately thirty percent of their monthly income as part of their rental payment.

The federal government and other governmental agencies help to subsidize part, or all, of the rental payment for the housing unit. Vouchers are given to approved participants so they can lease or rent a housing unit. The voucher usually will only pay part of the total amount of the rent. Another organization called PHA or Public Housing Agency will pay for some of the rent too, but only to cover the fair market rent costs. The maximum amount permitted for a monthly voucher is $2200.

Tenants can rent housing that is higher than the fair market value but that tenant will have to pay the difference. Fair market housing prices will vary from city to city. There are many regulations for this program. Participants have to report all income and any changes in the household income. They also have to take proper care of the rental unit.

There are no laws mandating that private landlords have to participate in Section 8 housing programs. As a consequence, many of these landlords do not, because there is more paper work involved, especially when trying to evict someone. On the other hand, many landlords are glad to participate as there is usually a long waiting list for this type of housing voucher and then the landlord has more choices.

Qualifying

To qualify for a voucher, a participant's income may not be more than fifty percent of the median income for that particular area. These amounts are by various criteria, one being the census. Local governments are then given a certain amount of these vouchers every year. In the larger cities, unfortunately, there is usually a long waiting list for people who need them.

Veterans Administration Supported Housing

HUD and the Veterans Administration administer a distinctive Section 8 program that is named Veterans Administration Supported Housing or VASH, or HUD-VASH. Housing vouchers are given to eligible veterans who have to be homeless, eligible for Veterans Administration Health Care, and also engage in case management services to be able to receive and keep independent community housing that is permanent. Last year, over 20,000 vouchers were given to veterans who qualified for the program. For more information about this program visit the VASH website.

The Section 8 Housing Choice Voucher Program is the foremost recognized and promoted rental assistance program. This program is financed by HUD and managed by nation wide local housing authorities.

How To Apply

Applicants can apply for the Section 8 Consolidation program online and or find listings of affordable housing in their area. Just be aware that it does not cost any money to apply for this assistance program for housing.

Should you be considering trying to obtain this voucher, please speak to your local Public Housing Agency (PHA) for any assistance your may need. You can also contact your nearest HUD Office in order to receive help too.

Local Choices and The Waiting List - Defined and Explained

Because the interest in housing assistance frequently is much greater than the available HUD resources, HUD, as well as the PHA, sometimes there are extended waiting times and unfortunately, this is common for some areas in the country. Actually, a local PHA may even close off their waiting list anytime if it has too many people on it than they can help in the foreseeable future.

PHAs can also create certain kinds of preferences for choosing eligible participants from their waiting list. Such as, PHAs can give preference to a homeless person or families. They can also give preference to people that are residing in a house or apartment that is considered to be substandard housing. Another example is, if applicant is paying over fifty percent of their monthly income for rent or if the family or person has been displaced from their housing involuntarily. Any family that faces any of the above mentioned situations can be moved ahead of a family that does not face those situations. In othe words, every PHA gets to establish their own preferences for selecting eligible participants for the Section 8 housing assistance for their particular area or community.

Housing Vouchers - The Basics

This Section 8 voucher program gives a participant the choice of where they want to live, of course, the landlord has to participate in the program. After a family or individual has been selected by the PHA, they will be informed about some of their housing choices. These choices will be based on the size of the family.

All housing units that participate in the Section 8 program must meet certain health and safety regulations before they can be approved by the PHA. Once the participant has located a rental unit that they want to rent, agrees with the landlord's rental terms, then the PHA will inspect the unit and also determine if the cost of the rent are average for that type of unit and the location.

The PHA establishes a payment standard which is the sum usually required to lease a residential unit that is moderately-priced for that local area. Then that amount is used in order to determine the voucher amount that the family or individual will be allowed.

Families or individual may choose a dwelling unit that has a rental cost that is either above or below the standard set by PHA. However, the participants in the program are required to pay thirty percent of their adjusted gross monthly income for their rent and also their utilities. If their rent happens to be more than the standard cost, then the participant has to pay the difference. The law states that when families or individuals use vouchers to pay for part of their rent, their share of the rent cannot exceed forty percent of the monthly adjusted income for rental costs.

How The Subsidy Is Determined

The PHA determines what the maximum amount of assistance for housing that is permitted. The maximum amount is usually the lowest number of the payment standard, subtracting thirty percent of the participant's adjusted monthly income. In other words, the total costs of the monthly rent minus thirty percent of the adjusted monthly earnings.

Moving and Section 8 Vouchers

Participants who want to move can but first they must notify the PHA before they move. Terminating an existing lease must be done within the provisions stated in the current lease. Participants must also find acceptable and approved housing before they move.

New participants can select to live anywhere in the U.S. when the participant has lived in the PHA jurisdiction when the participant applied for the Section 8 assistance. For participants who were not living in the PHA jurisdiction, have to rent a housing unit in a PHA jurisdiction for at least twelve months first before they can move. Moving has to be approved first by the PHA.

All participants, which include the tenant, PHA, HUD and the landlord, have to sign all the necessary forms before the move can happen. Everyone will have to satisfy all the voucher program's regulations and obligations.

What Are The Responsibilities for A Tenant?

The participant usually has to pay a security deposit to their new landlord in order to move into the rental unit. Sometimes a lease needs to be signed for one year. Usually, after the first year, the landlord will rent the unit on what is called a month-to-month basis. The tenant must adhere to all of the rules stated in the lease or rental agreement.

Responsibilities of the Landlord

Landlords must provide sanitary and decent housing that is also safe. The price of the rent must also be reasonable for the dwelling and location. All Section 8 housing units must satisfy all of the standards set by the program and those standards have to be maintained for the duration that an owner receives assistance payments from PHA and HUD. Landlords have to abide by the terms of the lease too.

Responsibilities of the Housing Authority

As mentioned earlier, the PHA manages the voucher Section 8 program locally. The PHA supplies a family with all of the housing assistance that is provided in the program so a family or individual can find acceptable housing. The PHA signs the rental contract with landlords so the landlords will receive payments with respect to individuals or families. In the event a landlord does not fulfill the obligations of the terms of the lease, the PHA then legally can have the rental assistance payments terminated. The PHA also has the right to reevaluate the participant's income (usually once a year) and also has to inspect all participating units to see if they meet all the standards set by the PHA.

Role of HUD

To pay for the expense of the Section 8 program, HUD supplies resources enabling PHA to generate Section 8 housing assistance expenses with respect to the participants. HUD also compensates PHA for all costs associated with the management of the program. When new funds end up being available for assisting new participants, HUD notifies all PHAs to submit funding applications to assist more people with housing assistance vouchers. All applications will be evaluated and money given to the chosen PHAs. HUD looks after the administration of the PHA part of the Section 8 program in order to make certain all the regulations of the program are being implemented correctly.

Other Subsidy Programs and More Information

If you would like more information about the Section 8 voucher program you can contact your local PHA, HUD or Office of Public Housing. Just know that in some locations, there will be a long waiting list for this housing program or the list may be closed. There are other kinds of housing programs that are subsidized too and you can find out about them at the HUD office in your area.