Prospective HCV Landlords

How it works

• All landlords who sign a Housing Assistance Payment (HAP) Contract for a new leased unit are eligible for a $1,000 signing bonus.
• Both existing and new landlords will receive an additional payment of $500 for each new unit brought into the HCV program, capped at five (5) units. The landlord must have units occupied by DSHA voucher participants under a HAP contract.
• Rental rates must fall within Housing Delaware payment standards. The unit must pass a Housing Quality Standards (HQS) inspection. Landlords must engage in a one-year lease with a new tenant and sign a HAP contract. The landlord must not have any open housing discrimination cases.
• The signing bonus also applies to Emergency Housing Vouchers and Mainstream Vouchers administered by Housing Delaware, if permitted by the specific specialty voucher. Landlords receive the bonus at or around the time of the first monthly payment.

Common questions

What is the maximum amount I can receive for the signing bonus?

Up to $2,500, which includes $1,000 for the initial new HCV unit and $500 for each additional unit, up to five (5) units.

If I am an existing landlord with Housing Delaware, would I be able to receive the signing bonus?

Existing landlords — those currently renting to a Housing Delaware voucher holder — are eligible to receive $500 for each new unit brought into the HCV program, with a cap of five (5) units.

Will I receive $1,000 for each unit available to an HCV participant?

No. The landlord receives $1,000 for the initial housing unit and $500 for each additional unit added, up to a maximum of five (5) units.

If I was a previous landlord with Housing Delaware but do not currently house a tenant, can I qualify for the bonus?

Yes. Landlords who have not had an HCV tenant within the last twelve (12) months in the unit for which the bonus is requested can qualify for the $1,000 “new” landlord bonus.

How do I qualify to receive the signing bonus?

The rental unit must pass a Housing Quality Standards (HQS) inspection, rental rates must fall within Housing Delaware payment standards, and the landlord must engage in a one-year lease with a new tenant and sign a Housing Assistance Payment (HAP) contract. The landlord must not have any open housing discrimination cases.

When will I receive the payment for the signing bonus?

The incentive payment is paid after the executed Housing Assistance Payment contract, at a time designated by Housing Delaware (at or around the time of the monthly payment).

Is there a certain rental rate needed to qualify for the signing bonus?

Yes. To qualify for the signing bonus, rental rates must fall within Housing Delaware payment standards.

What is the timeframe between a landlord being considered “new” and existing?

The landlord must complete a one-year lease with a Housing Delaware tenant to be considered an existing landlord.

How it works

Housing Delaware provides one-time security deposit assistance to first-time voucher holders who are moving to sustainable housing and searching for a new unit within Housing Delaware’s jurisdiction, subject to the following:

• The tenant requests assistance using the Security Deposit Incentive Request Form.
• Housing Delaware will pay the security deposit for the unit the landlord lists on the Claims & Application Form.
• The landlord should complete and sign the Claims & Application Form to request the funds, along with a signed Housing Assistance Payment (HAP) contract.
• The incentive payment is paid directly to the landlord after the executed HAP contract, with the first month’s rent.

Common questions

Will the security deposit be given to the tenant to pay the landlord, or given to the landlord directly?

The incentive is paid directly to the landlord after the executed Housing Assistance Payment contract, with the first month’s rent.

When the tenant moves out, should the security deposit be paid to the tenant or Housing Delaware?

Families are not required to repay the funds to Housing Delaware. If they move out of the unit with no payment owed, the landlord is required by Delaware law to return the security deposit to the tenant within a reasonable time.

Can this incentive be used for fair market units owned by a landlord?

No. This incentive does not apply to any fair market units a landlord may own.

Can an existing tenant request security deposit assistance if they are moving to a unit?

No. Housing Delaware may pay the security deposit only for first-time voucher holders who are searching for a new unit within Housing Delaware’s jurisdiction.

When will I receive the payment for the security deposit assistance?

The incentive payment is paid after the executed Housing Assistance Payment contract, at a time designated by Housing Delaware (at or around the time of the monthly payment).

Is there any paperwork the landlord must complete to receive the security deposit assistance?

The landlord should complete and sign the Request and Acknowledgement of Security Deposit Form to request funds, along with a signed Housing Assistance Payment contract.

How it works

Landlords who provide proper documentation and proof of damages and who re-lease to another voucher holder on the Housing Delaware waiting list are eligible for damage payments. Housing Delaware will reimburse the lesser of the cost of repairs OR two (2) months’ contract rent (minus security deposit). You MUST re-lease to a voucher holder to qualify.

To apply, the landlord submits the reimbursement forms with a copy of the move-in and move-out inspections, satisfactory descriptions, and documentation of damages (including pictures) to the Housing Subsidy Provider. A complete property damage claim must include:

• A copy of the move-in inspection and documentation of the damages (photos, etc.).
• Either a written estimate of repairs by a third-party licensed contractor or qualified professional; AND
• Documentation of completed repairs performed by a third-party licensed contractor or another qualified professional.
• If the landlord acts as the contractor for repairs, Housing Delaware will only reimburse for materials — labor charges will not be considered.

Common questions

Do I have to re-lease to a Housing Delaware voucher holder to receive damage claims?

Yes. The landlord MUST re-lease to a voucher holder to qualify.

Is there a maximum amount I can request for reimbursement of damages?

The lesser of the cost of repairs OR one (1) month’s contract rent (minus security deposits).

Is there a timeframe for a request to apply for reimbursement?

The timeframe depends upon the completion of all required documentation for the application.

If I am the person fixing the damages, are receipts needed with the request?

If you are the person fixing the damages, Housing Delaware will only pay for the materials needed to do the work.

What is needed when I apply for the damage reimbursement incentives?

The landlord submits the reimbursement forms with a copy of the move-in and move-out inspections, satisfactory descriptions, and documentation of the damages (including pictures).

If a tenant’s unit has a bed bug infestation, will the cost of treatment be reimbursed?

No. Reimbursement will NOT cover bed bug treatments.

If the unit is furnished, can I be reimbursed for the replacement of the furniture?

Yes. Reasonable repair or replacement of damaged furniture or other appliances provided in the lease may be included.

When will I get paid for the damage reimbursement?

The landlord is paid upon completion of the required documents, on a schedule determined by Housing Delaware.

How it works

• Housing Delaware offers compensation up to one month’s rent for landlords whose property was previously occupied by an HCV participant and is now rented to a new HCV participant.
• The payment amount matches the contract rent paid by the previous HCV tenant and is only issued upon completion of a new Housing Assistance Payment (HAP) contract.
• If the property remains vacant for less than one month, the vacancy loss payment is adjusted on a prorated basis according to the number of vacant days.
• The vacancy loss payment does not apply to Project-Based Vouchers, Mod Rehabs, or any other program that already covers vacancy loss.
• If a landlord received reimbursement for unpaid rent or vacancy from another source, such as a security deposit, the reimbursed amount is deducted from the total vacancy loss payment provided by Housing Delaware.
• The vacancy loss payment applies to Emergency Housing Vouchers and Mainstream Vouchers administered by Housing Delaware, if permitted by the specific specialty voucher.

Common questions

Will the vacancy loss cover more than one (1) month?

No. The vacancy loss payment will cover up to 30 days / 1 month.

How will I know if I am eligible for the vacancy loss payment?

The landlord must submit a vacancy loss form and provide proper documentation that the new tenant is an HCV holder.

A Housing Choice Voucher (HCV) is a form of tenant-based housing assistance for low-income families provided by the U.S. Department of Housing and Urban Development (HUD). Housing Delaware administers the HCV program for Kent and Sussex Counties in Delaware. Eligible families that receive an HCV can use the voucher anywhere in Kent and Sussex Counties to lease privately owned rental units. The amount of housing assistance provided is based on family size and income.

Once an eligible family receives an HCV, they can look anywhere in Kent and Sussex Counties for privately owned rental units. Once they find a unit, the prospective landlord and family complete and submit a Request for Tenancy Approval (RFTA) form to DSHA. The RFTA is reviewed to determine if the unit falls within the approved Payment Standard for affordability, and an appointment is scheduled to conduct the Housing Quality Standards inspection. If the unit is approved, leases and contracts are signed. Monthly Housing Assistance Payments (HAPs) are provided to the landlord through direct deposit.

All families that receive a Housing Choice Voucher (HCV) must participate in DSHA’s Moving To Work (MTW) Program. Elderly and/or disabled families are exempt. Families in the MTW program must work a specified number of hours per week, or have a combination of work and education hours, to remain eligible for housing assistance. The program limits housing assistance for MTW families to seven (7) years and provides incentives, counseling, and educational activities to help them achieve self-sufficiency. During the first five (5) years of the seven-year period, as earnings increase, the amount of rent they pay is capped and the difference goes into an escrow account they can access if the MTW program is successfully completed. Many past MTW participants have used this escrow to rent unsubsidized housing or enter homeownership.

Under HUD requirements, a rental unit must meet certain HQS requirements to be considered safe, sanitary, and decent housing. During an HQS inspection, the Housing Delaware representative reviews the unit to confirm that the heating/cooling systems and kitchen appliances (if supplied) are in proper working order, that doors and windows are in good condition and lock, that there are no safety hazards (plumbing, electrical, ventilation), that there is no peeling paint, that walls, ceilings, and flooring are in good condition, and that bathroom facilities are present, private, and in good condition. Two brochures — “A Good Place to Live” and “Housing Quality Standards” — are included in the Program reference documents section for more on the HQS inspection.

The unit is inspected annually, normally 120 days prior to the original lease anniversary date. Housing Delaware may also conduct special inspections at the request of the landlord and/or resident. Both the landlord and resident are notified ahead of time of any scheduled inspection.

If any deficiencies are found during the annual HQS inspection, the landlord is notified and given thirty (30) days to make necessary repairs. A re-inspection is scheduled at the end of the thirty-day period to confirm all repairs are complete. If the landlord anticipates a delay past the thirty-day period — due to weather, materials on order, or contractor delays — they can request an extension. Requests must be in writing and received at least two (2) weeks before the re-inspection date. Extension requests are reviewed on a case-by-case basis. A list of the most common inspection discrepancies is included in the Program reference documents section.

The total amount of rent Housing Delaware can approve for a unit, called a Payment Standard, is based on the Fair Market Rents (FMR) published by HUD for Kent and Sussex Counties every year. The amount of contract rent and applicable utility allowance for the unit (based on the utilities the resident would pay) cannot exceed the Payment Standard.

Owners can request rent increases each year as long as the request is received in writing by Housing Delaware at least sixty (60) days before the lease renewal date. Housing Delaware sends out a rent increase reminder notice approximately 90 to 120 days before the lease expires. Rent increase requests are reviewed to determine if the request is reasonable and meets HUD requirements. If the full amount cannot be approved, Housing Delaware will contact you to see if a different amount can be negotiated.

All utilities that a resident would be required to pay (electric, oil, natural gas, propane, water/sewer, etc.) must be included in the calculation of housing assistance for a family and in determining if a unit is within the applicable Payment Standard. The amount of contract rent requested for a unit and the utility allowance are added together and cannot exceed the Payment Standard for the applicable bedroom size of the voucher.

For example, the two-bedroom Payment Standard in Kent County is $883.00. If a landlord is requesting $600.00 for a two-bedroom and tenant-paid utilities are estimated at $200.00 per month, the total of rent and utilities would be $800.00. Since that is less than the Payment Standard, the unit would be eligible for the HCV program (as long as it passes the HQS inspection).

If all utilities are included in the rent requested by the landlord, the contract rent can be approved up to the applicable Payment Standard without any deduction for utilities. In that case, the landlord cannot ask the participant to pay for any utilities at any time during the lease period. For example, with the two-bedroom Kent County Payment Standard of $883.00, if a landlord includes all utilities in the contract rent, Housing Delaware could approve a rent amount up to $883.00 — but the landlord could not have the tenant pay any additional funds for utilities, even if energy or water/sewer costs increase.

Housing Delaware annually prepares and updates Utility Allowance charts showing the applicable allowance for each tenant-provided utility, based on usage and average costs for Kent and Sussex Counties. A copy of the most recent Utility Allowance Survey results is available at the Housing Choice Voucher Management office.

Landlords can charge up to one (1) month’s rent for a security deposit. You can also charge a pet deposit if the resident has a cat or dog. Housing Delaware does not provide residents assistance paying security deposits.

As an HCV landlord, your responsibilities are to keep the rental unit in proper repair, provide services and utilities noted under the lease, respond to maintenance requests from the resident, and notify Housing Delaware of any changes in ownership. The Housing Assistance Payments Contract (see the Program reference documents section) fully outlines your responsibilities.

As with any other tenant, an HCV landlord follows the Delaware Landlord-Tenant Code in dealing with any lease violation. This includes non-payment of the participant’s portion of rent and other material lease violations such as damages beyond normal wear and tear, unauthorized guests, not maintaining utilities, and other lease-related issues. Housing Delaware is interested in any issues that occur between the landlord and resident. If the landlord takes legal action against an HCV resident, we request that copies of the notices be sent to Housing Delaware for our records. When Housing Delaware receives a notice, we send a follow-up letter to the resident advising them to correct the problem and remind them they may lose their housing assistance if evicted for a lease violation. A copy of the Section 8 Tenant-Based Rental Voucher Program lease is included in the Program reference documents section.

The initial lease period is one (1) year. After the initial year, the lease continues on a month-to-month term. During the first year, the lease cannot be terminated by the resident without the landlord’s written consent, or under special circumstances approved by Housing Delaware. After the initial year, the lease can be terminated by either party with proper sixty (60) days’ written notice.

All Housing Assistance Payments are directly deposited into the bank of HCV landlords. For landlords new to the HCV program, the initial housing assistance payment may be made via a check, with all subsequent payments directly deposited into their bank.

Housing Delaware uses DelawareHousingSearch.org to refer all Housing Choice Voucher participants to your units. It is a completely free service funded by Housing Delaware and powered by socialserve.com, supported by a toll-free, bilingual call center that can help you list your available units and help voucher participants locate them. The call center is available Monday–Friday, 9 a.m. to 8 p.m. EST at 877-428-8844. Call or go online to list your rental properties.