Many Americans, including the elderly, disabled and poor, have a need for affordable housing. This is particularly true in urban areas, where rents tend to be much higher. Subsidized apartment programs exist to fulfill that need by creating a way to help everyone live in adequate housing that is safe and sanitary. Local, state and federal agencies are in place to administer these programs, as well as private groups and foundations.
Subsidized apartments are apartments whose rent is partially paid by an outside group, usually the government. Tenants in the program must meet certain requirements, such as a maximum income limit, and must contribute either a percentage of fair market rent or a percentage of their income toward rent. The largest programs require tenants to contribute 30 percent.
There are several kinds of subsidized apartments. Those in need of affordable housing can either live in project-based housing, where the whole building is subsidized, or they can participate in a tenant-based housing program, where the tenant is subsidized. Project-based housing is owned by either a local housing authority or a private interest that has agreed to participate in the program. The housing must meet minimum standards, and the tenant contribution goes off a percentage of the tenant’s income, so rents paid can vary from unit to unit. Most buildings are for lower-income residents, but some buildings are dedicated to meet the needs of the elderly and contain special facilities. If a tenant leaves, they are no longer eligible for subsidized housing solely based on their living in the project-based housing.
The tenant-based housing voucher program is for any apartment where the owner has agreed to participate in the program. The eligibility for subsidies lies with the tenant, and it transfers with them no matter where they move to as long as they continue to live in housing that will work with the program. Tenant-based housing must also meet certain minimum standards and is usually privately owned, though civic groups and foundations also own and participate with tenant-based housing. As part of the program, the owner agrees to charge fair market rent, of which the tenant pays 30 percent regardless of income. The tenant agrees to keep the property in good condition and will be removed by the program and lose their eligibility if they do not.
The most popular subsidized housing program is the Section 8 program. It is a federal program created by Housing and Community Development Act of 1974 and administered by the Department of Housing and Urban Development (HUD). HUD determines eligibility for property owners and rental properties. Local housing authorities, who pay out the subsidies using federal funds, also process the tenant program applications. Most accepted applicants are placed on a waiting list, which can be years long. Many local housing authorities will make exceptions to the waiting list for certain situations, such as involuntarily displacement, homelessness, families fleeing abuse, families paying over 50 percent of their income in rent or families in substandard housing.
Specialized programs such as Leasing Assistance Programs and Shelter Plus Care exist to house the mentally ill and the disabled. Many of the recipients of this program are homeless “street people.” These programs combine housing with support services into a package to give participants the specialized help they need in order to function in society, hold jobs and become responsible for their own care.
- Apartment image by John Sandoy from Fotolia.com