HUD Unveils Plan To Increase Rent On Millions Receiving Federal Housing Assistance

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HUD Unveils Plan To Increase Rent On Millions Receiving Federal Housing Assistance

April 27th, 2018

Awake Goy

Housing and Urban Development Secretary Ben Carson wants Americans living on housing assistance to put more of their income toward rent and he wants to give public housing authorities the ability to impose work requirements on tenants.

Under current law, most tenants who get federal housing assistance pay 30 percent of their adjusted income toward rent, and the government kicks in the rest up to a certain amount.

According to the HUD plan unveiled Wednesday, the amount many renters would pay jumps to 35 percent of gross income.

In some cases, rental payments for some of the neediest families would triple, rising from a minimum of $50 per month to a minimum of $150, according to HUD officials. Some 712,000 households would see their rents jump to $150 per month under the proposal, the officials said.

The rent overhaul requires congressional approval. If passed, the changes in how rent is calculated could impact many of the 4.7 million families HUD helps to obtain affordable housing.