February 9, 2016

HUD Sec.8 Rents by Zip

[starbox]

If the rents in the owner’s study exceed 140% of the median zip code rent threshold, then HUD will require a third party RCS.

In August 2015, the U. S. Department of Housing and Urban Development issued a new Section 8 Renewal Policy Guide.  Section 9-23 of the new Guide provided instructions for comparing the median rents as derived by the appraiser in a rent comparability study (RCS) with Census Bureau estimates of the median rents in the project’s zip code.

Should the rents in the owner’s study exceed 140% of the median zip code rent threshold, then HUD would secure a third party to create a RCS for comparison purposes.  HUD has recently published the new median zip code rents and the 140% thresholds,  – these numbers will be effective for any RCS signed by the owner’s appraiser on or after February 11, 2016.

If the project is located in a zip code with a $2,800+, then a HUD RCS is only required if the new comparable market rents exceed $2,800 ($2000 X 140%), and the project’s overall rent increase would exceed 5%.  For those projects located in zip codes with “**”, a HUD RCS is only required if the project’s overall rent increase would exceed 5%.

Tap the graphic and search rents by city or zip code 
Hover over the upper left corner and the search box will appear

This article has been prepared by Clarendon for general information only.  Clarendon makes no guarantees, representations or warranties of any kind, expressed or implied, regarding the information including, but not limited to, warranties of content, accuracy and reliability. Any interested party should undertake their own inquiries as to the accuracy of the information. Clarendon excludes unequivocally all inferred or implied terms, conditions and warranties arising out of this document and excludes all liability for loss and damages arising there from. This publication is the copyrighted property of The Clarendon Group, Inc.  All rights reserved.

©2017 The Clarendon Group, Inc.  All Rights Reserved.          Terms | Privacy

©2017 The Clarendon Group, Inc.

Log in with your credentials

Forgot your details?