HUD Budget Cuts & Impact on Section 8

[James Hunt]

So I'm hearing major cuts across HUD, but housing will be wrapped in an infrastructure bill. I also have read the city of Houston has revoked 900 vouchers from applicants who are not currently in housing. Thoughts?

[Patti Robertson]

Three weeks ago we received notice that a tenant who had a voucher and RFTA issued, applied for our property, had the rent approved, and we had passed inspection on the unit she was moving into was having her voucher revoked hours before we had her lease signed.  The HA said exactly what you mentioned above - anyone who was a new Voucher holder who hadn't yet signed a lease was being booted.  I appealed this decision and the HA did reverse it for our tenant because she was so far through the process.  Cuts are definately coming soon.  The good news is that if you have a tenant in your property they are likely to stay put until the budgets loosen up again, because most of the HAs will increase density by reducing the bedroom size of the vouchers issued when a recipient holder gives notice to move.  They will be grandfathered for bedroom size only if they don't move.  Hardest hit with be the properties with 4+ bedroom, because there's a small number of people who have 7+ people in their households.