Is there a cap on the tenant’s portion of the rent?
June 10, 2025
Under HUD regulations, HCV participants cannot pay more than 40% of their income toward the rent and utilities during the initial lease term. After OHA staff determine whether the rent you requested is comparable they will let you know if the rent will be affordable to the tenant. Not every HCV participant will be able to afford to rent your unit at a market rate rent, even with their housing subsidy. This is no different than the private market. In such cases, OHA staff will tell you the maximum amount of rent the tenant could afford. You can then decide to rent to the tenant at the lower rent or look for another tenant..