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Renting to a section-8 applicant whose voucher only covers a smaller unit
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Note: The Section 8 Rental Voucher Program increases affordable housing choices for very low-income households by allowing families to choose privately owned rental housing. The public housing authority (PHA) generally pays the landlord the difference between 30 percent of household income and the PHA-determined payment standard-about 80 to 100 percent of the fair market rent (FMR). The rent must be reasonable. The household may choose a unit with a higher rent than the FMR and pay the landlord the difference or choose a lower cost unit and keep the difference.
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Question: A section-8 tenant has a voucher for a 2-bed house only. She wants to rent my 3-bd house and is willing to pay for the extra rental amount to cover my rental rate. Is this a good idea? Do you normally do this?
Answer: Before you rent to this applicant, consider the following:
- If she is willing to fraud section 8, she'll be willing to fraud you. tells you a lot about the person's integrity.
- You realize that it is against the section 8 rules and you can be removed from the section 8 program if you are caught doing this, right?
- You will have absolutely no way to collect this extra rental amount. Since section 8 does not allow this, what are you going to do when the tenant won't pay? There is nothing you can do. You can't evict for an agreement that isn't allowed to exist. It is a lot easier to just do things right.
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