HUD HCV Guidebook § 4.5
Rent Reasonableness (HUD HCV Guidebook)
HUD guidance — not codified law
In Force
Verified 9/25/2026 · Next check 10/2/2026
effective 9/25/2026FederalSection 8 HCVOperative Text
HUD HCV Guidebook § 4.5
The rents paid by participating families residing in group homes are generally subject to applicable standards
for determining rent reasonableness. The rent to the owner for an assisted family must35not exceed the pro-
rata portion of the reasonable rent for the group home. In determining reasonable rent, the PHA must36
consider whether sanitary facilities and facilities for food preparation and service are common facilities or
private facilities. When these facilities are private versus common, the PHA’s rent reasonableness
determination may provide additional consideration when determining the reasonable rent.
Example 7: Determining Rent Reasonableness for a Group Home Unit
Household includes a person with Family unit size is 2
disabilities plus a live-in aide
Total persons in group home (assisted and 8
unassisted)
Group home size 8 bedrooms
Comparable 8 bedroom unit rent $1525
8-bedroom payment standard $1500
Pro-rata share 2 persons in assisted
household/8 persons
in group home =
.25
Pro-rata share of payment standard for $1500 x .25 = $375
group home
Pro-rata share gross rent $375
Pro-rata share of reasonable rent $381
Rent is reasonable $375Source: Legislative text reproduced verbatim
Effective Timeline
Current
Sep 25, 2026
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Related Rules
§ 888.113
§ 888.113 Fair market rents for existing housing: Methodology.
§ 888.115
§ 888.115 Fair market rents for existing housing: Manner of publication.
§ 5.512
§ 5.512 Verification of eligible immigration status.
Source Information
Source:https://www.hud.gov/sites/dfiles/PIH/documents/Special_Housing_Types_Updated_November 2020.pdf
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