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Section 8 Tenant-based Assistance

The Section 8 Housing Choice Voucher Program provides rental assistance to help eligible families live in safe and decent housing of their choice. With funding provided by the Department of Housing and Urban Development (HUD) and administered by local public housing authorities, this program utilizes privately owned existing housing stock.

Families, elderly, disabled and single people whose income falls within the income guidelines qualify for this program. The applicant receives a Housing Choice Voucher once they have met all eligibility requirements. The program participant can select an appropriate rental unit (house or apartment) and live where they choose. The unit that is selected must:

  • meet housing quality standards,
  • must have an appropriate number of bedrooms,
  • the rent must be reasonable with regard to current market rents,
  • must also be affordable to the participant.

The participant pays part of the rent and the Housing Authority pays part of the rent. The participant pays between 30 and 40 percent of their monthly income for rent. Depending on the income of the family, the Housing Authority may pay all or a very small portion the rent. The two examples listed below are for the same family size with only income differences. There are adjustment factors to the income that will not be discussed in these examples.

Example One:

Mother and two minor children. Mother’s income is $6.25/hour, 20 hours per week (adjusted annual income $5,540)
The rent on a two-bedroom apartment is $825 per month with the tenant paying gas and electricity.

The tenant would pay $132.00 per month to the landlord
The Housing Authority would pay $693.00 per month to the landlord.

Example Two:

Mother and two minor children. Mother’s income is $10.00/hour, 40 hours per week (adjusted annual income is $19,840)
The rent on a two-bedroom apartment is $825 per month with the tenant paying gas and electricity.

The tenant would pay $489.00 per month to the landlord
The Housing Authority would pay $336.00 per month to the landlord.

The amount of rent is limited because the participant may not pay over 40 percent of their adjusted income toward rent and utilities. If the tenant’s share exceeds 40 percent on a specific unit, the Housing Authority would not approve the lease. The same two examples of different income levels for the same family composition will be used.

Example One:

Mother and two minor children. Mother’s income is $6.25/hour, 20 hours per week (adjusted annual income is $5,540)

The maximum rent that could be allowed would be $855.00.

Example Two:

Mother and two minor children. Mother’s income is $10.00/hr, 40 hours per week (adjusted annual income is $19,840)

The maximum rent that could be allowed would be $974.00.

The rent maximums would only be allowed if a market analysis indicated the rents were reasonable and the unit passed the Housing Authority inspection.

Fair Market Rent (FMR)

The Fair Market Rent (FMR) amounts for Section 8 Rental Assistance for Housing Choice Vouchers as established by the U.S. Department of Housing and Urban Development (HUD) are as follows for the Denver Metro Area:

Efficiency 1 Bedroom 2 Bedrooms 3 Bedrooms 4 Bedrooms 5 Bedrooms
$565 $666 $844 $1,198 $1,398 $1,608

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