Is my rent always based on my income?

No. There are some situations in both state and federal public housing where the rent is not going to be a percentage of your income.

Note:

If you live in federal public housing in Cambridge, the housing authority has received special permission to create its own rules about how to set rents. ^iv

Federal public housing

Minimum rent

In federal public housing, housing authorities can charge a minimum rent of between $0-$50 per month. For more information, see If I have no income, can I be charged rent?.

Flat rent

In federal public housing, housing authorities must establish a maximum flat rent for each apartment.^v This will vary by bedroom size, condition, and location. Make sure you know what the flat rent is for your apartment. You will have a choice of paying either 30% of income or the flat rent. If you have a high income and the flat rent is less than 30% of your household’s income, you should choose the flat rent. If you are paying the flat rent and at any time you are unable to pay that amount because of a financial hardship, you can ask to return to an income-based rent.^vi If you choose a flat rent, the housing authority must reexamine your income at least once every three years.

Pro-rated rent and immigrants

If you live in federal public housing and your household includes immigrants who are not U.S. citizens or who are not eligible noncitizens (as defined by federal regulation), the family usually must pay a pro-rated rent.^vii This figure is often much higher than the regular rent.^viii For more information about pro-rated rent, see Legal Tactics: Finding Public and Subsidized Housing, Booklet 9.

Welfare sanctions and rent

If you live in federal public housing and your Transitional Aid to Families with Dependent Children (TAFDC) grant was lowered because the Department of Transitional Assistance sanctioned you for welfare fraud or for not doing its required work program, your public housing rent will not be lowered. ^ix

State public housing

Minimum rent

In state public housing, housing authorities must charge a minimum rent of $5 a month.^x For more information, see If I have no income, can I be charged rent?.

Overhoused family that refuses a transfer

In state public housing, if a family is overhoused, which means that the apartment is designed for a larger family, the housing authority is required to transfer this family to an appropriately sized apartment.^xi

For example, if a 3-person family is living in a 4-bedroom apartment, a housing authority can require them to transfer to a smaller unit. If the family refuses to transfer to an available apartment, the housing authority is allowed to charge 150% of the income-based rent.^xii This means that if the household would have paid $300 per month under the regular income-based rules, the housing authority can charge $450 until the family agrees to move to a smaller unit. See If my housing authority says I am overhoused, what can happen to my rent?.

For more about transfer, see Transfers in Public Housing: A Know Your Rights Guide.

^iv Cambridge Housing Authority has a different rent formula for its federal housing programs under a demonstration program called “Moving to Work.” For more about the Cambridge rent simplification policy, go to: www.cambridge-housing.org/chaweb.nsf and click on “Rent Simplification News” at the bottom of the page.

^v 42 U.S.C. § 1437a(a)(2)(B)(i); 24 C.F.R. § 960.253(b).

^vi 42 U.S.C. § 1437a(a)(2)(C); 24 C.F.R. § 960.253(f). The housing authority must adopt written policies for determining when payment of flat rent is a financial hardship. Such policies must provide that financial hardship include the following situations: (1) the family has experienced a decrease in income because of change in circumstances, including loss or reduction of employment, death in the family, or reduction in or loss of earnings or other assistance; (2) the family has experienced an increase in expenses because of changed circumstances for medical costs, child care, transportation, education, or similar items; and (3) such other situations as determined by the housing authority.

^vii Pro-rated rent is based on the percentage of household income attributable to citizens or eligible noncitizens . See 24 C.F.R. § 5.520. For definition of eligible noncitizen, see 42 U.S.C. § 1436a.

^viii This pro-rated rent is based on the percentage of the income of household members who are citizens or eligible noncitizens . See 24 C.F.R. § 5.520.

^ix For a discussion of imputed welfare income , see 24 C.F.R. § 5.615.

^x G.L. c. 121B, § 32.

^xi G.L. c. 121B, § 32; 760 C.M.R. § 6.04(1)(c). Per 760 C.M.R. § 6.03, overhoused means a tenant household that the housing authority has determined, based upon the composition of the household, to be occupying a unit consisting of more bedrooms than is appropriate for the household size.

^xii G.L. c. 121B, § 32; 760 C.M.R. § 6.04(1)(c).

Produced by Massachusetts Law Reform Institute
Created April 14, 2006

Is my rent always based on my income?

Note:

Federal public housing

Minimum rent

Flat rent

Pro-rated rent and immigrants

Welfare sanctions and rent

State public housing

Minimum rent

Overhoused family that refuses a transfer

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