Subsidized Housing - Housing Choice Vouchers (Section 8) and Project-Based Vouchers
Subsidized apartments/housing means that you are granted a monthly subsidy that assists with the payment of your rent. This monthly subsidy is paid directly to the landlord. In a subsidized apartment you typically pay 30% of your actual income toward the rent. The subsidy pays the balance. For example, if an apartment rents for $1,200 and your monthly income is $2,000, you pay $600 toward the rent (30% of your income) and the subsidy pays $600 to the landlord, for a total of $1,200. If your income goes up due to a promotion, your share of the total rent increases, still using the same formula of 30% of income for your contribution. If your income goes down due to a job loss, reduction in hours or other reasons, your share of the rent goes down, using the same formula.
There are two general types of subsidized affordable housing:
HOUSING CHOICE VOUCHERS (TENANT-BASED SECTION 8)
Housing Choice Vouchers (HCV's) are attached to the client/tenant, unlike Project-Based Vouchers, which are attached to a specific apartment at a property. An HCV holder determines what apartment, neighborhood, and community they wish to reside in. And if they later move, they are eligible to take their housing voucher with them to use at a new location. It is the HCV holder's responsibility to locate and apply for their apartment, and to be accepted by the landlord or management company. The majority of Housing Choice Vouchers are placed at apartments that are privately owned/managed.
The Housing Choice Voucher (Section 8) interest list is currently closed. The interest list will open again only after the previous year's list is exhausted and when there is adequate funding from HUD.
PROJECT-BASED Vouchers (SUBSIDIZED APARTMENTS)
Project-Based Vouchers means that the subsidies have been awarded to a specific apartment at a property. To receive the benefit of that subsidized rent, you must live in that specific apartment at that specific property.
The application for a Project-Based Voucher is a two-step process. If eligible for the PBV program, the applicant is referred to the landlord of the corresponding property, which will have additional screening requirements.