A tenant who becomes ineligible must vacate within 30 days and pays note rent until then

rd515.over_income.ineligible_tenant_pays_note_rent_and_must_vacate · v1.0.0

A Section 515 tenant must continue to meet the eligibility requirements of 7 CFR 3560.152 to remain in occupancy. A tenant who is no longer eligible must vacate within 30 days of being notified by the borrower, or at the expiration of the lease, whichever is greater, unless the Agency approves a temporary continuation because the waiting list has no eligible applicants for that unit type or because vacating in the required period would create a hardship. While in occupancy, a tenant whose adjusted income exceeds the maximum for the project is charged the RHS-approved note rent in a Plan II project; in a Plan I project the tenant is charged note rent plus a rental surcharge of 25 percent.

Confidence

high

Effective from

2005-01-01

Last reviewed

2026-08-30