If you are new to the world of income-based housing, it is easy to feel overwhelmed by all the different programs and rules that affect landlords and tenants. The different kinds of income-based housing can seem like a big bowl of alphabet soup---USDA? PBRA? LIHTC?

Let us break these issues down for you.

Most income-based housing in Arkansas is funded by the federal government. This funding comes with strings. You may have heard that tenants don’t have many rights in Arkansas. That’s true. However, the federal government gets to set rules for the housing it pays for. These rules cover a broad range of issues from who gets to live in that housing, how much the rent is, how and why tenants can be evicted, to whether and how someone gets to keep a Section 8 voucher. Tenants tend to have more rights when federal money is involved.

There are different types of income-based housing. Some funding follows the tenant, so the tenant can take it with them when they move (tenant-based). Other funding stays with the property.

These programs are run by agencies of the federal government. The main programs are run by the U.S. Department of Housing and Urban Development (HUD), the U.S. Department of Agriculture (USDA), and Internal Revenue Service (IRS). Agencies have different income-based housing programs of their own. For example, HUD has public housing, Section 8, and many others. Each program has its own rules (which are set through federal regulations). It is super important to know which type of funding is involved because that tells you which laws apply.

Landlord-Tenant Issues in Private vs. Income-Based Housing

Differences between private and income-based housing often come up when tenants face eviction or the loss of a housing voucher.

Under Arkansas law, the default rule allows parties to a lease agreement to just not renew that lease when it expires for any reason or no reason at all. That is unless the parties have agreed to something different within their lease.

This means that if a tenant remains in the home after the lease expires, that tenant may be evicted.

Most income-based housing requires “good cause” for lease nonrenewal. This means that the landlord MUST renew the lease unless there is some good reason not to. Good cause requirements vary slightly based on whatever kind of funding the property has. HUD programs (other than Section 8 vouchers) do not allow eviction for holdover tenants or tenants who simply remain in the home after the lease expires. There must be some other reason for the eviction.

Tenants facing eviction from income-based housing have numerous federal procedural rights, including: (1) the right to adequate notice of the grounds for the eviction and the procedures that the landlord must follow and (2) an opportunity to be heard, including, in some cases, a right to be heard in an informal meeting or hearing before an eviction case is ever filed in court.

How to Learn About Income-Based Housing Near You

Let’s say that you rent an apartment and your rent is based on your income. How do you know what your rights are? You may want to call your local legal aid program for some advice. These programs are complicated but legal aid lawyers deal with them often.

Your lease agreement is a good start. However, you may have rights under federal law that aren’t clearly spelled out in the lease. That is why you need to follow the money.

For tenant-based programs like Section 8 or Housing Choice Vouchers, look to the lease agreement and the Housing Assistance Payment (HAP) contract. The tenant will probably have a caseworker at the local housing authority the voucher came from who can answer questions about the program.

If the funding goes with the property itself (project-based), you can look it up.

The National Housing Preservation Database pulls together data from all the big federal agencies about income-based housing across the country. You will need to make an account, but it is free. Once you log in, go to “Full Data Access.”

Let’s say that you live in downtown Little Rock. You can look up your zip code and see all the federally-funded properties near you.

 You can click on the “details” button to tell exactly what kind of income-based housing program applies to a specific property.

If you are a tenant with questions about your legal rights or responsibilities, please feel free to call our Helpline at (501) 376-3423 to apply for free legal help.

AUTHOR: KENDALL LEWELLEN, STAFF ATTORNEY FOR THE CENTER FOR ARKANSAS LEGAL SERVICES