How To Rent Houses To Families Who Have Hud

Introduction

HUD, Housing and Urban Development, is a U.S. government program that helps low income families find and pay for living arrangements. Applicants must meet certain requirements to be eligible to receive HUD benefits and the wait list is very long. There are advantages to landlords who chose to rent houses to HUD recipients.

Step 1

Begin your quest to rent houses to HUD recipients by contacting your local public housing authority. Explain that you would like to rent houses to HUD recipients. They will be able to tell you all the requirements to be fulfilled before you can rent houses to someone on the program.
The program requires that the person who is renting out the home be the actual, documented owner of the property. Documentation must be provided. Electricity and plumbing must all be in working order. Smoke detectors must be present as well as fire extinguishers. Any steps must be accompanied by safety railing. Bathroom facilities must all be in proper working conditions.
To rent houses, the home must be clean and free of any pests or vermin. Mold must not be present and all heating and air ducts must have properly fitted filters. Flooring must be secure in all area of the home and have no holes or weak spots. Windows must all be in good working order. They cannot have cracks or be painted shut.

Step 2

Determine a fair rent amount. There are fair rent laws to rent houses and landlords are not legally allowed to raise rent to an unreasonable amount. HUD determines a fair rent price to be an estimate of rents on other comparable homes in the area. Some things to consider when deciding on rent are if the electricity or water is included in the rent, if appliances are provided, if the tenant has pets or children, carpeting and outside structures.

Step 3

Create a legally binding lease agreementto rent houses. A lease should detail all the rights and responsibilities of both parties. Details of rent, rules and property management should all be listed and agreed upon. Make sure to detail who and how often the yard should be mowed and how trash will be disposed of. The lease will be active for a specified amount of time, usually six months to a year. HUD regulations require landlords to include the Tenancy Addendum that they provide. This assures that the landlord will accept the HUD Section 8 program vouchers in exchange for the amount of rent clarified in the lease.

Step 4

Rectify any remaining issues with the house, tenants or property before allowing the move-in to get started. Remove used paint cans and brushes. Take any unused lumber off of the property and make sure there are no scrap materials lying around. Double check all the light switches and sink faucets. If you haven’t already, it is a good time to give the tenant any receipts for rent payment or deposits and a copy of the lease signed by both parties. Make copies of the house keys and you are ready to rent houses to families with HUD, a rewarding experience for both tenant and landlord.

Tips

Consult a lawyer for help with creating your lease. Know your rights and responsibilities as a landlord before getting to far involved. 

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