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federalUnited StatesSection 8 Moderate Rehabilitation Programrent_limit

Rent adjustments must not create a material difference between assisted and comparable unassisted rents

mod_rehab.rent_limit.no_material_difference_from_comparable_unassisted_units · v1.0.0

Notwithstanding any other provision of 24 CFR part 882, rent adjustments must not result in material differences between the rents charged for assisted and comparable unassisted units, as determined by the PHA and, for special adjustments, approved by HUD. Unless rents were adjusted at the end of the rehabilitation loan term, this limitation does not prohibit differences between assisted and comparable unassisted rents to the extent such differences existed in the initial Contract Rents.

This is Mod Rehab's rent reasonableness discipline and it is not the same test as the voucher programme's. There is no independent rent reasonableness determination per lease-up under 24 CFR 982.507 here; the comparison is made by the PHA at adjustment, and the initial differential is grandfathered unless 882.409 has already reduced the rent at the end of the rehabilitation loan term.
Confidence
high
Effective from
1998-04-30
Last reviewed
2026-08-31

Citations

All sources verified within 1 day
  • Section 8 Moderate Rehabilitation Programs
    24 CFR 882.410(b)
    regulationSource ↗verified 1d ago
  • Section 8 Moderate Rehabilitation Programs
    24 CFR 882.410(b)
    regulationSource ↗verified 1d ago
  • Section 8 Moderate Rehabilitation Programs
    24 CFR 882.409
    regulationSource ↗verified 1d ago