Termination of assistance is not termination of tenancy: the tenant keeps the unit and pays market rent, full contract rent, or 110 percent of the BMIR rent

mfh.termination_assistance.assistance_ends_but_tenancy_continues · v1.0.0

Termination of assistance and termination of tenancy are separate actions with separate grounds and separate consequences, and conflating them is the commonest error in this area. Termination of assistance occurs when a tenant is no longer eligible for subsidy or to enforce HUD program requirements, and it results in the loss of subsidy to the tenant -- but tenants whose assistance is terminated may remain in the unit, paying the market rent, full contract rent, or 110 percent of the BMIR rent. Termination of tenancy, by contrast, is the first step in the eviction process: the owner gives notice to vacate because of a lease violation, and a tenant who does not vacate may face judicial action. When terminating assistance the owner raises the tenant's rent to market or contract rent and, where applicable, makes the assistance available to another tenant. Where the tenant holds more than one form of subsidy, termination puts the tenant on the market rent, full contract rent or 110 percent of BMIR rent -- so a tenant in a Section 236 property receiving Section 8 would pay the full Section 8 contract rent unless there is an eligible in-place Section 236 tenant or a vacant unit the Section 8 can be transferred to.

Confidence

high

Effective from

2013-11-27

Last reviewed

2026-09-01