There are a few different types of rental assistance programs available from the government and charity organizations. But when it comes to HUD rental assistance, it can be tricky to differentiate between program types. Public housing is a popular choice among renters, but privately owned subsidized housing may be the perfect fit for you.
To make it easier for you to choose a rental relief program, we’ve broken down the basics of each one so you can better understand your options. Continue reading to learn more about public vs. private housing.
HUD rental assistance comes in many forms, two of the most popular being public and private housing. Both programs help low-income individuals and families find affordable places to live. But there are a few key differences you should know about.
Public housing provides help with rent. The program lets low-income families and individuals rent affordable apartments directly from a PHA. In this program, the PHA is the landlord.
Subsidized housing, on the other hand, is a rental relief program that has privately owned apartments and houses. Landlords get funding from HUD, which lets them offer affordable homes to low-income families.
When it comes to calculating rent costs for both types of rental assistance programs, the process is similar. Both public housing and privately owned subsidized housing are not offered at a fixed rate. The cost of rent depends on the person’s income.
Generally, tenants in HUD rental assistance programs pay no more than 30% of their income on the rental rate. That’s because HUD doesn’t want you to spend more than 30% of your earnings on housing costs.
In terms of the application process, to apply for public housing, you need to submit an application directly to your local PHA. Meanwhile, to apply for subsidized housing, you have to submit an application to the housing development. If you are approved for either program, you will be assigned a housing unit; there’s no need to search for one like you would do with the Section 8 program.
Ready to seek out rental relief? Find your PHA online today to get started!