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Low-Income Households Could See 20% Rent Increase Under Latest HUD Proposal

By
Jonathan Sperling
Jonathan Sperling
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By
Jonathan Sperling
Jonathan Sperling
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June 7, 2018, 9:05 AM ET

The latest proposal to raise rent for those living on housing assistance by Housing and Urban Development Secretary Ben Carson could cause some low-income U.S. households to see their rent skyrocket by at least 20%, according to an analysis by the Center on Budget and Policy Priorities.

In a report provided to the Associated Press, the CBPP found that in the nation’s 100 largest metropolitan areas, low-income tenants would be forced to pay approximately 20% more in annual rent under Carson’s proposal, which was revealed in April. In cities such as Charleston, S.C., households receiving federal housing assistance would see a 26% increase in rent.

The HUD’s plan looks to raise rent for those on housing assistance from 30% of the household’s income to 35%. Exemptions are provided for families who are disabled, elderly, or those affected by hardship, as determined by the HUD.

The increase is around six times more than the growth of average hourly earnings, putting the poor—including those who are employed—at risk for homelessness, according to the AP.

In May, Carson and the HUD were sued by the National Fair Housing Alliance over its failure to enforce the 1968 Fair Housing Act, which prohibits housing discrimination.

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