standard lease

Document Sample
standard lease Powered By Docstoc
					Greensboro Housing


   Owner/Agent Orientation
Admissions at a Glance
Fair Housing Statement
Becoming a Participating Landlord
Program Benefits
The Housing Choice Voucher Program (HCVP) is a federal
housing assistance program administered through the
Department of Housing and Urban Development (HUD) and the
Public Housing Authority (PHA)

It assists low-income families, seniors and person with
disabilities to pay for decent, safe and affordable housing, and
provides rental assistance in the private housing market through
a “subsidy” which is based on household income and cost of
Participant Eligibility
      Must be a U.S citizen, national or non-
      citizen with eligible immigration status.

      Must have an active application on file.

      Must meet the income guidelines as
      published by HUD.
Participant Eligibility (HUD has
         four factors)
           Family Composition

           Income Limits

           Provision for Social Security Numbers

           Other criteria for Admission that
           relates to prior history on GHA’s or any
           other federal program, and Criminal
    Fair Housing Policy
It is GHA’s policy to comply fully with all Federal, State and local
nondiscrimination laws, the Americans With Disabilities Act, and
the U.S. Department of Housing and Urban Development
regulations governing Fair Housing and Equal Opportunity in
housing and employment
    Fair Housing Policy
     Statement (cont.)
To further its commitment to full compliance with applicable Civil
Rights, laws, GHA will provide Federal/State/local information to
applicants for participation in the HCVP on discrimination and
any recourse available to them should they feel they have been
victims of discrimination
Admissions at a Glance
Pre-application completed
Eligibility income determined
Applicant placed on waiting list
Selected from waiting list
Preference, income & allowance verified by third Party
Applicant briefing held
Housing Choice Voucher issued
Housing search begins
Owner Outreach
        Owner Outreach
GHA will make personal contact in the form of formal or informal
discussions or meetings with private property owners; program
requirements will be explained and printed material offered to
acquaint the owner/agent with the opportunities available under
the program

GHA maintains a list of interested owner/agents available for the
HCVP and updates this list daily. This is made available to
prospective tenants
     GHA Responsibilities
 The HA obligations under the HAP contract include:

• Inspect the unit, at least annually to assure that the
  unit meets HQS which includes supervisory quality
  control HQS inspections

• Inspect the units upon complaints received by the
  family in respect to HQS

• Must notify the owner of all deficiencies notated on
• Must pay the HAP payment promptly when due
             Owner/Agent Responsibilities
1. Perform all management and rental functions for the unit:

 • Participant screening and selection

 • Collecting security deposits

 • Collecting participant’s share
 of contract rent and other
 tenant charges for damage to
 the unit
 • Initiating lease agreement with family
              Owner/Agent Responsibilities (cont.)

2. Maintain unit in accordance with Housing Quality Standards (HQS)
3. Provide to the family information on the status of lead-based paint in the unit

4. Comply with equal opportunity requirements

5. Comply with the Housing Assistance Payments (HAP) Contract

6. Enforce the lease

7. Pay for owner supplied utilities and services

8. Responsible for provisions or modifications to the unit
as reasonable accommodations
Owner/agents may screen the prospective tenants using factors
such as:
  Criminal report
  Credit report
  Prior rent history
  Outstanding debts owed to previous owner(s)
  History of damage to rental property
  Employment
  If requested GHA will furnish the owner with:
  Current address of the tenant
  Present name of landlord
  Family’s prior address
     Tenant Responsibilities
•   Provide the PHA with complete and accurate information
•   Find a place to live that is suitable for them and qualifies for the
•   Attend all appointments with PHA
•   Responsible for the care of unit
•   Comply with terms of their lease
•   Comply with family obligations on their voucher
     Becoming a
Participating Landlord
Step 1   Tenant Found
Step 2   Tenant Approved by Owner
Step 3   Tenancy and Unit Approved by PHA
Step 4   Contract and Lease Signed
Step 5   Housing Assistance Payments Made
          Step 1:
        Tenant Found

When a family is determined to be eligible for the
program and funding is available, the PHA issues the
family a Housing Choice Voucher. The family
receives the Voucher at the mandatory briefing and
begin their housing search.
2005 Payment Standard
   for Bedroom Size
   0 bedrooms                  $522
   1 bedroom                   $596
   2 bedrooms                  $678
   3 bedrooms                  $859
   4 bedrooms                  $901
   5 bedrooms                  $985

 Established Payment Standard is 90% of FMR (Fair Market Rent)
      Tenant Payment
A family renting a unit below or above the payment
standard pays as gross rent the highest of:

• 30% of monthly adjusted income or
• 10% of gross monthly income or
• Housing Authority minimum rent ($45)

Note: If above, family also pays any amount above
 the payment standard.
Greensboro ~ Winston-Salem ~ High Point

                         Very Low-Income
       Family Size
           1                 $19,750
           2                 $22,550
           3                 $25,400
           4                 $28,200
           5                 $30,450
           6                 $32,700
           7                 $34,950
           8                 $37,200

  January 31, 2004 - $56,100 (Median Family)
Step 2: Tenant Approved
        by Owner

Review the voucher
Screen the family
Security deposits
 Step 3: Tenancy and
Unit Approved by PHA
Leasing Process
Request for Tenancy Approval
Tenancy Addendum

•   Housing Choice Voucher
•   Request for Tenancy Approval
•   Housing Assistance Payments (HAP) Contract for HCVP
•   Tenancy Addendum for HCVP
         Leasing a Unit
Request for Tenancy Approval the owner or agent MUST list on
the RFTA:

  1) Date on which you and the tenant wish the lease to begin
  2) Number of bedrooms in the unit
  3) Year constructed
  4) Type of unit
  5) Who is responsible for utilities
  6) Type of utilities being paid by the tenant/owner
  7) Requested rent for the unit
      Tenancy Addendum
  In addition to the RFTA, you must submit to the PHA your
  standard lease for unassisted tenants with the HUD-required
  Tenancy Addendum attached.

(Note: This Tenancy Addendum can be retrieved from the GHA website:

Lease Requirements
   The owner and tenant must enter into a written lease for the
    unit. The lease must be executed by the owner and the tenant.
    If the owner uses a standard lease form for rental to unassisted
    tenants in the locality or the premises, the lease must be in such
    standard form (plus the HUD-prescribed tenancy addendum)
Lease and Tenancy
 A copy of the proposed lease is to be submitted to the HA along
 with the RFTA
 The lease must be approved by the HA
 Owners use their own lease, but it must have the HUD tenancy
 addendum provided by GHA as part of the lease
    Lease and Tenancy
     Addendum (cont.)
After GHA has reviewed the RFTA and lease, certified and
documented rent reasonableness, conducted an inspection and
passed the unit, checked the requested “Contract Rent” against
the FMR and found it to be reasonable, GHA will approve the
    Lease and Tenancy
     Addendum (cont.)
If the proposed, unexecuted lease does not meet GHA’s
requirements, GHA will explain the problems to the owner and
suggest how they may be corrected by a specific date (usually
within seven (7) working days)
   Housing Quality
Standards Inspections
  Housing Quality Standard
     Inspection (HQS)

Inspection Process
Meeting Housing Quality Standards (HQS)
Prepare the Unit for Inspection
Participate in the Inspection
Make Repairs Promptly
  Housing Quality Standard
     Inspection (HQS)
Areas Inspected:
  Living room
  Kitchen
  Bathroom
  Other rooms used for living and halls
  Secondary rooms (i.e. laundry room)
  Building exterior
  Heating and plumbing
  General health and safety
  Housing Quality Standard
   Inspection (HQS) cont.

Lead-Based Paint
  Requirements for pre-1978 with children under 6

Site and Neighborhood
Sanitary Condition
Smoke Detectors
HQS Fails Units under
The owner or participant will be given time to correct the failed
items cited on the inspection report for a unit already under
If the failed items endanger the family’s health or safety, the
owner or participant will be given 24 hours to correct the
For less serious failures, the owner or participant will be given
up to 30 days to correct failed item(s)
      Initial Inspections
On an initial inspection, the owner will be given up to 30 days to
correct the items that failed, depending on the extent of the
repairs that are required to be made.
No unit will be placed in the program until the unit meets
the HQS requirements.
             HQS Ratings
Pass - the conditions meets the minimum requirement

Inconclusive – more information is needed for the inspector to
make a determination

Fail – condition does not meet the minimum requirement. All
fail items must be corrected and approved prior to the execution
of the HAP contract
      Rent Reasonableness

The rent must be               The HA will not approve
comparable to rents            an initial rent or a rent
charged for similar units in   increase without
the private unassisted         determining that the rent
market, or rents charged by    amount is reasonable.
the owner for a comparable
unassisted unit in the
building or premises.
    PHA Disapproval of
HUD notifies PHA owner has been debarred, suspended or
subject to limited denial of participation by HUD

Violation of Fair Housing Policy

Owner renting home to family member, unless the family
member has disabilities and owner has provided reasonable
    PHA Disapproval of
      Owner (cont.)
Violated obligations under the Housing Assistance Payment

Committed fraud, bribery or any other corrupt or criminal act in
connection with any HUD program

Engaged in violent criminal activity

Noncompliance with HQS for leased units

Failing to terminate tenants
  Step 4: Contract and
     Lease Signed

 Once the lease and unit are approved, you will enter into a
contract with the PHA, and you will sign a lease agreement with
the family
       Step 5: Housing
     Assistance Payments
Payments will continue as long as the following conditions are met:

Units meets HQS
  Tenant is eligible for assistance

  Tenant resides in the unit

  Owner is in compliance with the contract

   Note: The family is responsible for paying the difference between
    the PHA’s amount and the total rent to owner. The owner must
    collect any portion of the rent payable by the family.
HUD-Required Annual Activities
  Recertification of Family

  Changes in Payment

  Annual Inspection of Units

  Abatement of Payments

  Voucher Program Rent Increases

  Other Changes in the Lease
  Changes in Payment
Owners must notify GHA of any changes in the amount of rent
at least sixty (60) days before the changes go into effect.
Any such changes are subject to GHA determining them to be
Assistance shall not be continued unless GHA has a new
tenancy in accordance with program requirements
      Annual Inspection
Unit must be inspected by the PHA each year
Advance written notice to owner and family
Results of inspection provided
Fail – reasonable time to repair
Family is responsible for repair beyond normal wear and tear
When a unit fails to meet HQS and the owner has been given an
opportunity to correct the deficiencies, but has failed to do so
within the required timeframe, the rent for the dwelling unit will
be abated.
The abatement will begin the 1st day of the next month.
      Abatement (cont.)
The initial abatement period will not exceed 7 days.
If the corrections are not made within the 7 day timeframe, the
abatement will continue until the HAP contract is terminated.
If the corrections are made, GHA will end the abatement the day
the unit passes inspection
Rent will resume the following day and be paid the 1st day of the
next month
      Abatement (cont.)
For tenant-caused HQS deficiencies, the owner will not be held
accountable and the rent will not be abated
The tenant is held to the same standard and timeframes for
corrections as the owner
If repairs are not made by the deadline, GHA will send a notice
of termination to both the tenant and owner. The tenant will be
given the opportunity to request an informal hearing
Request for Rent Increases
   Owner/Agent will complete Rent Increase Form and send to
   Roni Johnson, Eligibility Coordinator for Section 8

   Once rent increase request is received, it is given to the HA
   Inspection Manager (Ricky Gilmer)

   Ricky Gilmer will give rent request to the Inspector who did the
   annual inspection to determine if owner/agent is justified in
   asking for rent increase

   If the unit has passed inspection, a rent increase will be
        Request for Rent
        Increase (cont.)
If the unit has not passed inspection, no rent increase will be

Inspector will do a rent reasonableness on all rent increases,
based on neighborhood and rent from unassisted tenants.

Rent increases are usually absorbed by the tenant and not

If owner/agent is already receiving the MAXIMUM amount of
rent at time of initial inspection, then a rent increase is unlikely
           Changes in Lease

If the participant and owner agree to any changes in the lease,
all changes must be in writing and the owner must immediately
give GHA a copy of the changes. The lease, including any
changes, must be in accordance with the GHA Administrative
Changes in Lease (cont.)
a)   Changes in lease requirements governing tenant or owner
     responsibilities for utilities or appliances
b)   Any changes in the term of the lease
c)   Any moves from one unit to another (including moves to a
     different unit within the same complex or building)
d)   If PHA approves the new tenancy, a new lease and HAP
     contract will be required
Family Obligations to Owner

Provide Utilities
  Electricity, gas or water

  Stove and refrigerator (if not provided by owner)

  Repairing any damages to the unit beyond normal wear and
  If family does not fulfill obligations to make repairs
   assistance may be terminated
 Family Obligations to
Required Information
Social Security Numbers
HQS Violations
Unit Inspections
Lease Violations
 Family Obligations to
     PHA (cont.)
Housing Use
Family Composition
Other Household Occupants
Reduction in Family Size
Profit Making Activities
 Family Obligations to
     PHA (cont.)
Assigning or Transferring
Ownership or Interest
Other Housing Assistance
Alcohol or Substance Abuse
 Family Obligations to
     PHA (cont.)
Housing Use
Family Composition
Other Household Occupants
Reduction in Family Size
Profit Making Activities
 Owner Obligations to

Reasonable Modifications for Disabilities
 Owner Obligations to
Program Integrity

Common Owner Violations

   Failing to maintain a unit
   Accepting Payments for a Vacant Unit
   Demanding or Accepting Side Payments

Contract Terminations

Change of Ownership
 Owner Obligations to
    PHA (cont.)
Contract Terminations
 Agreement between the owner and PHA

 Runs concurrently with the lease and terminates
  automatically when the lease terminates
 Ends when a family’s income increases to the point that a
  PHA payment to the owner is no longer necessary
 Change of Ownership
Owner may not assign the contract to a new owner without the
prior written consent of the PHA
New owner must complete W9 and provide proof of ownership
Notify PHA if property is for sale
       Grounds for Denial or Termination of
                                     4. If any member of the
1. If the family violates any
                                               family commits
family obligation.
                                       drug-related or violent
                                           criminal activity or
2. If any member                          if alcohol is abused
of the family has ever               by a household member
been evicted from                             to the extent that
public housing                           it interferes with the
3. If any Housing Authority has         health, safety, or right
ever terminated assistance under       to peaceful enjoyment
the certificate or voucher program              of the premises
for any member of the family.               by other residents.
      Grounds for Denial or Termination of
              Assistance (cont.)

                     5. If any member of the family commits
                     fraud, bribery or any act of corruption in
                     connection with any HUD program.

6. If the family currently owes rent or other amounts to the
Housing Authority or to any other Housing Authority in
connection with Section 8 or public housing assistance under the
1937 act.
7. If the family has not reimbursed any HA for amounts paid to
an owner for rent damages or other amounts due under the lease.
         Grounds for Denial or Termination of Assistance

8. If the family violates an agreement with
a HA to pay amounts owed to the HA or
amounts paid to any owner by a HA.

9. If the family has engaged in or
threatened abusive or violent behavior
toward HA personnel. This includes verbal
                                                 10. If the family
as well as physical abuse or violence; use of
                                                 has remained at
expletives that are generally considered
                                                 zero assistance for
insulting, racial epithets, or other language,
                                                 over six months.
written or oral, which is customarily used to
insult or intimidate.
Greensboro Housing Authority – Owner/Agent HCVP Workshop
                       May 6, 2004

Description: online standard lease ppt for download