HUD’s Tenant Selection Plan is a guideline program that shows HUD’s selection requirements, screening criteria, occupancy policies, and application process. The TSP (Tenant Selection Plan) checklist will serve as a guide to verify the necessary information and its compliance with state and federal laws.
The selection plan is a standard plan followed by PHAs, where TSP incorporates written policies and procedures. These policies are developed by PHA, under HUD regulations. It is to ensure that tenants are selected under HUD rules and that PHAs follow the requirement checklist provided by HUD. PHA’s are required to maintain TSPs consistent with federal laws of nondiscrimination and equal opportunities for every race, religion, and color.
There are many aspects to consider and rules followed by PHAs for tenant selection. Here are some of the tenant selection basics you should know:
1. Income Requirements
TSP guidelines include checking if applicants meet the income requirements for the property and community they have applied for. The applicant’s annual income must not exceed the income limits set by HUD. They also must submit all verified income documents, and disclose all income forms and information.
Low-income households with annual income not exceeding higher than 30% of AMI (Area Median Income) are eligible. Around 40% of all vacancies are given to extremely low-income families every year.
2. Occupancy policies
Occupancy policies and eligibility of applications are set on the size and number of beds & baths in a unit, also the members of a household. For example, a two-bedroom apartment cannot be occupied by 1 person or more than 5, as per HUD and PHA’s tenant selection criteria.
In case any associated member of the household has any physical handicap. Under Guardian Real Estate Services, households can apply for a larger unit.
3. Project-Specific requirements
Community requirements, household preferences, and unit type are also considered under TSP while selecting and allocating units. Projects specific and ideal communities for elders, disabled people, and other special cases are taken into consideration.
4. Screening Criteria
A major part of the tenant selection plan set by HUD is specifying screenings and background checks that need to be run on applicants. This includes home visits and personal interviews for every applicant above 18.
The complete report of rental history, non-employment period, and lease violation records are the necessary requirements under HUD’s Tenant Selection Plan.
5. General Requirements
- TSP checklist also the identity of applicants which includes their citizenship and immigration status.
- All applicants must prove their correct SSN (Social Security Numbers).
- Primary applicants must be of legal age, and all members above 18 must sign on the application.
Final Words
U.S. Department of Housing and Urban Development has programmed the Tenant Selection Plan to be fair, and compliant with federal laws. And also to help applicants in need get the required help through HUD housing funds.
