HUD Issues New Section 8 Rent Comp Study Memo

HUD issued a September 14, 2018 memorandum to the field amending a prior May 29, 2018 memorandum to streamline Section 8 MultiFamily rent comparability documentation and review.  To save costs and procurement of 3rd party rent comparability studies may be waived for properties that have an approved owner RCS with median rents that are above 140 percent of the median rent by zip, but are also:

a. at or below 150 percent of the median gross rent by zip code; or

b. at or below 120 percent of the metropolitan area Fair Market Rents (FMR) for the

property’s location and median unit type.

Waiver requests must still include complete information such as for properties basic information on rents.  These procedures are temporary, while changes to the Sec. 8 Renewal Guide are pending. For properties that do not meet this criteria, owners may submit waiver requests under the May 29th memorandum along with detailed justification.