What is the Housing Choice Voucher program and how does Section 8 work?
The federal government provides financial assistance to very low-income Americans to afford housing through the Section 8 Housing Choice Voucher program.
Finding affordable housing in the United States has been getting harder with a tight housing market pushing up prices across the country. Those who are renting are feeling the pinch too.
There is assistance available for very low-income families, the elderly, and the disabled through the Section 8 Housing Choice Voucher program to afford decent, safe, and sanitary housing. The program, which is overseen by the US Department of Housing and Urban Development (HUD) but administered by local housing authorities, helps over five million people pay the rent on privately-owned homes of their choosing. The vouchers can even help eligible households buy homes.
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Who can receive a Section 8 Housing Choice Voucher?
The vouchers are targeted at extremely low-income households and eligibility is based on income relative to the area median income. The federal rules dictate that three quarters of newly admitted recipients be extremely low income, over 70 percent of current beneficiaries are at or below 30 percent of area median income according to the National Council of State Housing Agencies. The remainder of households that can be admitted must have incomes at or below 80 percent of area median income.
Specific rules for the Section 8 Housing Choice Voucher program are set by each local housing authority. There are roughly 2,150 state and local public housing authorities (PHAs), and 23 state housing finance agencies (HFAs). Applicants must apply for the program through the local PHAs and HFAs that are in charge of the neighborhood where they want to live.
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Applicants can apply with as many local housing authorities as they wish to get onto a waitlist. You can “port” your voucher and move to another neighborhood after you are admitted to the program, but keep in mind that you will have to remain in the original rental in the area that you are accepted to the program for at least 12 months before you can move.
Also bear in mind that getting admitted to the program can take months if not years. ProPublica in conjunction with The Connecticut Mirror prepared a guide for the process of applying for the Section 8 Housing Choice Voucher program.
How much rent does the Section 8 Housing Choice Voucher program cover?
Voucher-assisted households must pay at least 30 percent of their monthly income for rent and utilities. Although the voucher does not come with a set amount of rent, they do come with limits on the number of rooms that recipients can rent and a utility allowance. Factors to be taken into consideration once you are admitted to the program.
Those who wish to participate in the program should consult with the local housing authority staff. Also, the voucher does not cover security deposits, but you can check whether your state has a security deposit assistance program.