Benefits of Becoming an HCVP Landlord
If you own units in New Hanover County, North Carolina, you can become a WHA HCVP Landlord. The main benefit that many landlords across the nation cite as the reason they became an HCVP landlord is the dependable rental income owners receive. As long as there is not a breach in the contract the WHA portion of the rent will be paid, usually the first business day of the month.
Another great benefit is that we offer our landlords the option of having their rental checks, called Housing Assistance Payments (HAP), directly deposited into their bank accounts. No lost checks or waiting for the mailman to come!
Owners retain their rights and responsibilities under federal, state, and local laws. The WHA does not screen tenants to determine if they are a good tenant, only if they are income eligible and for criminal activity. If you decide there is action you need to take with your tenant we just ask that you send us copies so we can follow up on our end.
How to Become an HCVP Landlord
If you are interested in renting to a voucher client it’s as easy as 1-2-3.
- Advertise that you accept vouchers. Putting Section 8 Welcome on “For Rent” signs lets perspective tenants know that you are willing to rent to voucher holders. You can also submit information about your unit on the “List Your Property With WHA” form and we will put the information on a list that we make available to clients that are looking for a unit.
- Become familiar with HCV Program regulations. The basics you need to know are found in the Housing Assistance Payment (HAP) contract located on HUD’s website at http://www.hud.gov/offices/adm/hudclips/forms/files/52641.pdf and the inspection checklist found at http://www.hud.gov/offices/adm/hudclips/forms/files/52580-a.pdf
- Clients that have active vouchers will contact you if they are interested in renting your unit. They will have paperwork that must be completed and returned in order to begin the process. The Request For Tenancy Approval (RFTA) form must be completely filled in and returned along with the Lead Certification. Before rental payments may begin, the following must occur:
- Income Calculation – WHA must determine that the client has enough income to move into your unit. HUD regulations state that the client’s portion of rent and utilities they are responsible for paying cannot be more than 40% of their monthly adjusted income. The following link will take you to WHA’s current HUD approved Utility Allowance Schedule, Utility Allowance Scheduled for Detached Units, Utility Allowance Schedule for Mobile Homes, Utility Allowance Schedule for Apartments.
- HQS Inspection – Once it is determined that the client can afford to live in your unit, we will schedule a Housing Quality Standards (HQS) inspection. An HQS inspector will inspect the unit. You will receive in the mail a list of any repairs that need to be made.
- Rent Reasonableness - At the same time the HQS inspection is being conducted, we will determine if the rent you are requesting is reasonable – this is a HUD requirement. WHA has contracted with a 3rd Party vendor to assist in rent reasonableness services. We will contact you to negotiate the rental amount if what you are asking is more than other similar units in the area that are not on the HCV Program are receiving in rent.
- HAP Contract and Lease - Once all the HQS items are corrected and the rent is determined reasonable, the WHA will send you a HAP contract for you to sign. When you send back the signed HAP contract, we also need a copy of the executed lease between you and your new tenant. The lease must begin within 60 days of the beginning of the HAP contract. If we receive the HAP and Lease at least 5 business days before the end of the month, your first HAP check will be processed the first of the following month. The HAP payment will be effective the date of the HAP contract, so you may receive partial payments if the HAP contract begins in the middle of a month. HAP contracts are effective the date the client moved in or when the unit passed inspection – whichever is later. Payments will NEVER begin before the unit passes the “HQS inspection”.