In the May issue, we discussed HUD’s new guidance on criminal background checks. The new guidelines spell out how HUD will evaluate fair housing complaints in cases where a site refuses to rent or renew a lease based on an individual’s criminal history. The new guidance has brought...
An owner seeking to evict a resident can’t begin an eviction lawsuit without first legally terminating the tenancy. This means giving the resident written notice, as specified in the state’s termination statute. If the tenant doesn’t move or fix the issue, for example, by...
From time to time, you or a staff member may get a rent check from someone other than the resident named on the lease. If you deposit the check and it turns out that the resident is illegally subletting his unit to the person who sent the rent check, you could run into problems. A court may rule...
The tax credit law allows low-income units to remain qualified even when a household goes over-income. But to maintain the unit’s low-income status, when a household’s income exceeds 140 percent of the income limit (or 170 percent in deep rent-skewed units), you must follow the next...
Clean, safe water is a precious resource that we all need to survive and often take for granted. But as droughts and water-rationing measures in states like California affect water supplies and usage for millions of people, responsible owners and managers everywhere are starting to take steps to...
To calculate household income for determining whether a household is eligible at a tax credit site, you’re required to follow the rules set out in HUD Handbook 4350.3. Sections 1 and 3 of Chapter 5 of the HUD Handbook (Determining Income and Calculating Rent) set out the rules you must...
A household can consist of one or more persons. A household may report to you that one of its members will be absent from the unit. For instance, an applicant may report that she has a daughter who’s away at school. Or an applicant may report that his wife recently had a stroke and will be...
Most tax credit managers know that state housing agencies must regularly inspect sites for compliance with the tax credit program. The agencies inspect units to make sure they’re suitable for occupancy and look at household files to make sure they’re accurate and complete. But many...
During an inspection, Real Estate Assessment Center (REAC) inspectors look at specific areas of the site for health and safety hazards. Most of these hazards can cost you points on your inspection score but don’t necessarily subject you to other, more serious penalties.
As a tax credit owner or manager, you must stay on top of your site’s painting needs. The tax credit law requires sites to be suitable for occupancy and free from health, safety, and building code violations. If your state utilizes HUD’s uniform physical condition standards for your...
With certain exceptions, households made up entirely of full-time students aren’t eligible to occupy low-income units at a tax credit site. So when you screen applicants, it’s essential to ask them questions to determine whether you can rent to them without violating this rule, known...
