Housing Choice Voucher Program
The Housing Choice Voucher (HCV) Program is a rental assistance program funded by the Department of Housing and Urban Development (HUD). The program assists low-income households with obtaining safe, decent and affordable housing. With a voucher, a portion of the rent is paid directly to the landlord by Moline Housing Authority, on behalf of the participant. The participant’s portion of the rent is based on their adjusted income, and they pay the difference between the rent charged by the landlord and the amount subsidized by the program, up to 40% of the household income.
Selecting a Tenant
Tenant selection is made by the owner/landlord. You are encouraged to consider a family’s background, including factors like payment of rent and utility bills, caring for a unit, respecting the rights of others, criminal activity, and compliance with other conditions of tenancy.
When you have selected a tenant, they will give you a Request for Tenancy Approval packet, which includes W9 Form and Direct Deposit Form, for you to complete. When the owner/landlord submits the forms to MHA, we will determine if the tenant is eligible for the unit financially (40% of their income calculation). Once that calculation works, the Housing Inspector will contact you to schedule an inspection.
Guidelines
- The unit must meet HUD’s Housing Quality Standards
- The rent must meet rent reasonableness guidelines
- Initially, the family cannot pay more than 40% of their monthly adjusted income for housing costs. Therefore, the prospective tenant’s income must be calculated before a rental unit can be approved.
Contracts and Leases
It is very important for our landlords to know what our relationship is in regards to the contract and lease.
The Housing Authority will enter into a contract with the owner to make payments for a specific amount of time on behalf of a participating family. The contract is between the Housing Authority and the landlord. The landlord cannot hold the family responsible for provisions in the contract. Any questions regarding the contract should be brought up to the Housing Authority.
The lease is between the landlord and the participating family. The Authority is not a party to the lease. Please be aware that the Authority cannot be held responsible for action or inaction by the family as it relates to the lease. If the family commits serious or repeated violations of the lease the Authority can take action.
If you have any questions as they relate to the HAP contract or the lease you enter into with the participating family please call us.
Roles
Tenant’s Obligations
When a family selects a housing unit, and the PHA approves the unit and lease, the family signs a lease with the landlord for at least one year. The tenant may be required to pay a security deposit to the landlord. After the first year the landlord may initiate a new lease or allow the family to remain in the unit on a month-to-month lease.
When the family is settled in a new home, the family is expected to comply with the lease and the program requirements, pay its share of rent on time, maintain the unit in good condition and notify the PHA of any changes in income or family composition.
Landlord’s Obligations
The role of the landlord in the voucher program is to provide decent, safe, and sanitary housing to a tenant at a reasonable rent. The dwelling unit must pass the program’s housing quality standards and be maintained up to those standards as long as the owner receives housing assistance payments. In addition, the landlord is expected to provide the services agreed to as part of the lease signed with the tenant and the contract signed with the Housing Authority.
HUD’s Role
To cover the cost of the program, HUD provides funds to allow PHAs to make housing assistance payments on behalf of the families. HUD also pays the PHA a fee for the costs of administering the program.
The Housing Choice Voucher Program offers an opportunity for property owners and landlords to earn secure income. If you are a landlord, building manager or real estate professional, you can expand your selection of renters by partnering with Moline Housing Authority.
If you are interested in renting to a tenant who participates in this program, contact us at 309-764-1819 and ask for Dana or Nysha.
FAQs for Landlords
How do I list my rental property with the housing authority?
You can list your property for free by going to www.Affordablehousing.com.
How much may I ask for rent?
You may ask the market rate. We will check the rental amount for at least two comparable unassisted units in the same geographic area. As long as you do not ask more than the highest comparable unit we find, your rent is considered reasonable.
How long does the process take?
Tenants choose their own unit. After they select a unit and the landlord agrees to rent to them, the tenant will give the prospective landlord paperwork to fill out. After the completed paperwork is returned to us, we schedule an inspection within ten (10) working days of the unit being ready for inspection. After the unit passes inspection, the tenant may move into the unit.
How much of the rent is paid by the tenant?
That depends on a number of factors including the income of the Housing Choice Voucher (HCV) family, the deductions the family receives, the number of people in the household/ voucher size, the applicable payment standard and the utility allowance for the chosen unit. Generally speaking the tenant will pay between 30% and 40% of their monthly-adjusted income for their rent.
When will I get paid?
The tenant should pay their portion as you specify in your lease. The housing agency cannot begin paying until after the unit passes inspection and we have a signed contract and lease. After the unit passes inspection, the contract will be prepared and we will request a copy of the signed lease. Generally speaking it can take up to a month to receive the first payment, which will include rent back to the date the tenant moved in after the unit passed inspection. Thereafter, direct deposits are processed the first working day of each month.
Can I get a printout of payments?
Yes! You may go to www.hmsforweb.com/pal and register. Once you have an account set up, you will be able to log in and check your payment history and print out individual payment information. There is even a link to receive notices when there is new payment information.
How do I request an increase in rent?
The lease establishes the rental amount for the period covered by the lease. To request an increase in rent, the landlord must request the increase in writing to both the tenant and housing agency sixty (60) days before the lease expires. The housing agency will conduct another rent reasonable survey to see if the increase can be approved. As long as the rent you are requesting is not above market value, the increase will be considered reasonable. Rent increases will only be approved if they are reasonable. Please provide verification of improvements made to the unit with your rent increase request.
What if the tenant damages my unit?
You collect a security deposit for that purpose. You may not charge an HCV tenant any more than you would charge a non-HCV tenant. The housing agency does not pay the security deposit. If the damages exceed the amount of the security deposit, you would need to go to court to get a court order for the remaining amount.
Landlord Online Payment Portal
Are you looking for information on your payments? Here’s the link to the online payment portal.