If you are a low-income individual or household seeking rental assistance, chances are you’ve heard something about Section 8 Housing Choice Vouchers. However, there is a bit of misunderstanding about this program because so many people simply associate Section 8 with public housing, which your community may or may not have. Let’s take a closer look at housing choice vouchers and discuss what they are, what they do and how you might qualify.
What is a Section 8 housing choice voucher?
The housing choice voucher program is part of Section 8, the HUD program designed to provide affordable housing to subsidize rents for low-income households. When you qualify for a housing choice voucher, you may choose to live in any home or apartment that meets Section 8 guidelines, and the federal government will subsidize your rent.
How is this different from Section 8 housing?
Public housing and the voucher program are both part of Section 8; one is tenant-based and one is project-based. Most people are familiar with Section 8 public housing, which is owned and controlled by the federal government; this is project-based Section 8, meaning if you leave, the subsidy stays with the project.
By contrast, a Section 8 housing choice voucher is tenant-based, meaning if you move to a different residence, your subsidy moves with you — for as long as your household qualifies financially for the subsidy. This program not only alleviates some pressure from the demand for public housing, but it also gives you more freedom to make housing decisions that are best for your household and family.
How does the housing choice voucher work?
The underlying goal of Section 8 housing vouchers is to keep your rent affordable. By government standards, housing is considered affordable when it does not exceed 30 percent of your monthly gross income. For example, if your monthly gross income is $1000, your rent should not exceed $300/month.
When you qualify for a housing choice voucher, the government subsidizes your rent with the landlord for any amount over 30 percent of your monthly income, provided that property meets basic Section 8 guidelines. Returning to our example, if your income is $1000/month, and the market rent on your unit is $1200/month, you pay only $300/month and the government pays $900.
Does this mean I can live wherever I want?
Not quite — although your options with a housing voucher are much greater than public housing. Your voucher only works at HUD-approved properties that have qualified to receive Section 8 subsidies. Most of the time, Section 8-approved housing is basically no worse than other properties — it just means the landlord or property manager applied and got the property approved. (Getting this approval is fairly straightforward: the government basically wants to inspect the property to make sure it’s up to code and that the landlord is charging fair market rents.)
How can I find out which properties in my area are approved for Section 8 vouchers?
There are two basic ways to find out this information:
- Ask the landlord or property manager if they take Section 8. If they do, they can show you evidence that they are approved.
- Consult your local public housing authority (PHA) for a list of properties in your area that accept Section 8. (HUD provides a searchable database here to get contact information for your local PHA.)
How do I qualify to receive a Section 8 housing choice voucher?
Qualifying for Section 8 is generally based on 3 factors:
- Your annual income;
- Your family size;
- The median income in your area; and
- Your eviction/rental history.
To qualify for Section 8, you must be considered a “very low income” household, meaning your annual income is below 50 percent of the median income in your area for a family your size. As you can imagine, the actual dollars may differ wildly based on location. For example, in New York City, a family of four can make as much as $52,000 a year and still potentially qualify as a very low-income household. In rural parts of the South where the cost of living is considerably less, the median income is lower.
Is there a waitlist for Section 8?
Usually, yes. Not only are these vouchers understandably in high demand, but your local PHA has only so many to offer at a time. In addition, even if you qualify for a Section 8 voucher by the numbers, the PHA is required by law to reserve at least 75 percent of its vouchers for households whose income is 30 percent of the median income for the area. Thus, in areas with high concentrations of low-income families, it can be more difficult to qualify for Section 8 even if your annual income is below 50 percent of the median. If you’re applying for the first time, be prepared to be patient.
Olympia Management administers numerous well-kept properties throughout the Southeast, many of which are Section 8 approved. To learn about availability in your area, call us today at 256-894-2382.