Over the years we have had several Section 8 tenants try in an attempt to entice us to make their vouchers accept a side payment agreement with us. We declined.
What are Section 8 side payments?
Let us assume that the demand rent for a unit is $ 2,500. The Housing Authority has a maximum amount allowed for the unity of $ 2,300. The owner and the tenant make an agreement that the tenant will pay the extra $ 200 off the contract with the Housing Authority. This is considered a Section 8 side payments . It is illegal.
By making a part of the agreement, the tenant may bring the loss of their voucher at risk. However, the Housing Authority come up with a very creative way for tenants to report the additional payment, while remaining anonymous. The result can be quite lucrative for the tenant, and are very costly to the owner who participated.
In May 2014, the Housing Authority of Santa Clara County wrote to Section 8 voucher tenants entitled “Confidential Rent” Side Payment “Survey.” org /. Project Sentinel not share the survey information with the Housing Authority
The study consists of three questions :.
1. In the last six years, have you (or someone in your household) paid rent in excess of the “tenant rent” listed on your most recent Housing Authority rental portion letter was?
2., Do you currently (or someone in your household) pay rent that is higher than the “tenant rent” listed on your most recent letter Housing Authority rental section amount?
3. At any time in the past, an application owner or collected rental payments that are higher than stated on your latest Housing Authority rental section letter “tenant rent” quantity of commodities?
If you are a landlord whose tenant can answer yes to any of these three questions you should question.
According to Project Sentinel, a tenant can be rewarded with a refund of the total side payments to the owner. In addition, the tenant may be awarded $ 1,650 to $ 3,300 a month they have a side payment to the owner, regardless of the amount of side payment. Restitution Payments go as far back as six years.