On October 24, 2023, HUD announced that it will cover expanded housing and neighborhood choices for more than 800,000 total households using Housing Choice Vouchers. Forty-one additional metropolitan areas, which cover more than 440,000 housing vouchers, can now use Small Area Fair Market Rents (SAFMR) These metros are joining 24 other metropolitan areas that already covered almost 370,000 vouchers.
This addition brings the total number of metropolitan areas covered by the rule to 65, amounting to more than 800,000 households. HUD says that “This action ensures that a portion of units in every neighborhood are affordable to tenants renting with a voucher, including higher-rent neighborhoods with high performing schools and other life-enriching opportunities.” Read the full notice, pending publication in the Federal Register, here.
“SAFMR allows Public Housing Agencies (PHAs) to set the maximum rent that housing vouchers will cover at the ZIP code level instead of the entire metropolitan area,” HUD says. “This policy allows voucher payments that more accurately reflect the local market and enable voucher holders to choose from a wider range of neighborhoods that suit their and their family’s preferences and meet their needs, at no additional cost to them.”
HUD’s comment on HCV Expansion
“Today’s action helps realize a dream that has been deferred for too long. By expanding the housing choices of 800,000 households of modest means, HUD is increasing opportunities and working to break down longstanding, harmful systems of segregation,” said Secretary Marcia L. Fudge. “While the housing crisis remains a challenge, implementing innovative solutions is crucial and will foster a more sustainable future within our communities.”
Positive impact from HCVs
HUD says that increasing choice for households who rely on Housing Choice Vouchers can positively impact families’ health and well-being.
“For instance,” HUD says, “when children in low-income families grow up in low-poverty, well-resourced neighborhoods, they are much more likely to attend college and earn more as young adults. And there’s evidence that PHAs that have used SAFMRs in the past expand housing choices for families, allowing them to use their vouchers in neighborhoods with lower poverty rates and better performing schools.” “HUD is opening doors for hardworking people of modest incomes who rely on our assistance,” said Richard J. Monocchio, Principal Deputy Assistant Secretary for Public and Indian Housing. “This is the largest expansion of voucher choice ever and HUD looks forward to working with public housing authorities to implement a change that will be life changing for their residents. In addition to required metropolitan areas, HUD encourages all public housing authorities to review the available SAFMRs for use and implementation.”
