HUD Compliance
HUD Compliance
HUD Compliance on this exam tests whether you can apply HUD occupancy and program rules to assisted-housing files, not just recite them. Expect income and rent calculations, annual and interim recertifications, EIV use, lease and grievance requirements, fair-housing obligations, and inspection standards such as NSPIRE/HQS.
Core rules
- Use annual income (all amounts anticipated during the next 12 months) and adjusted income after allowed deductions: $480 per dependent, $400 for an elderly/disabled head or spouse, medical expenses above 3% of gross income for elderly/disabled households, and child-care costs needed for work.
- Total tenant payment (TTP) is generally the highest of 30% of adjusted monthly income, 10% of gross monthly income, the welfare rent where applicable, or the $50 minimum rent. Tenant rent equals TTP minus the utility allowance when the tenant pays utilities.
- Recertify annually and process interim recerts when income or household composition changes per program rules. Document EIV discrepancies and third-party verification.
- Fair housing and Section 504 require reasonable accommodations, accessible notices, and consistent screening.
Worked example
A household has $30,000 gross annual income, one minor dependent, an elderly head, and $1,800 in allowable medical expenses. Deductions: $480 dependent + $400 elderly + $900 medical (the amount over 3% of $30,000) = $1,780. Adjusted income = $28,220; monthly = $2,351.67. Thirty percent = $705.50. Ten percent of gross monthly = $250. The $50 minimum is lower, so TTP is $705.50. With a $150 utility allowance, tenant rent is $555.50.
Traps
Using gross income instead of adjusted income; omitting the 3% medical floor; forgetting to subtract the utility allowance; missing an interim recertification; and treating an EIV discrepancy as disqualifying without verification.