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RENTAL ASSISTANCE
For Owner Occupants and Tenants
of 90 Days or More
Owner occupants and tenants of 90 days or more may be eligible for a rental assistance payment. To be eligible for a rental assistance payment, tenants and owners must have been in occupancy at least 90 days immediately preceding the initiation of negotiations for the acquisition of the property.This payment was designed to enable you to rent a comparable decent, safe, and sanitary replacement dwelling for a 42 month period. If you choose to rent a replacement dwelling and the cost of rent and utilities are higher than you have been paying, you may be eligible for a rental assistance payment up to $ 5,250. The agency will determine the maximum payment you may be eligible to receive in accordance with established procedures. The rental assistance payment will be paid in a lump sum unless the agency determines that the payment should be paid in installments. You must rent and occupy a DSS replacement dwelling within 1 year to be eligible.
For Instance: As an example of how a rental assistance computation is prepared by the Agency, lets assume that you have been paying $ 500 per month rent for the dwelling unit occupied by you and purchased by the Agency. You also pay $ 150 per month for utilities, (heat, light, water, and sewer). After a study of the rental market, the Agency determines that a replacement unit, which is DSS and comparable to your unit, is available for $ 595 per month. It is estimated that average monthly utility costs for the replacement unit will be $ 175 per month. The maximum rental assistance payment you can receive is $ 120 per month for a 42 month period or a total of $ 5,040. The rental assistance payment computation always includes the cost of the four basic utilities, (heat, light, water, and sewer), as well as the cost of the rent. If the rent includes utilities a separate computation will not be necessary.
Option A:
If you select a replacement dwelling unit that rents for $ 650 per month plus utilities, despite the availability of comparable DSS replacement rental units that rent for $ 595 per month plus utilities, you will still receive only the maximum amount computed by the Agency, or $ 5,040. In other words you must pay the additional $ 55 per month yourself.
Option B: If you select a replacement dwelling unit that rents for more than your present unit, but less than the amount determined by the Agency as necessary to rent a comparable unit, your payment will be based on actual cost. For example, assume you select a replacement dwelling unit that rents for $ 575 per month plus $ l65 for utilities. On the basis of actual cost you will be eligible for a payment of $ 90 per month for 42 months, or $ 3,780.
Owners: Displaced owners who are interested in renting a replacement property should contact the Agency for a complete explanation of this option since the computation is more complex.Next |
