What is Affordable Housing?


According to the federal government, housing is affordable when rent or mortgage payments (principal, interest, taxes, and insurance) plus utilities are no more than 30% of the occupant’s monthly income.

Federally funded affordable rental housing can be split into two main categories, Tenant Based and Project Based.

Tenant Based affordable housing programs, like Section 8 Housing Choice Vouchers, provide rental assistance directly to qualifying households.

Project Based affordable housing programs create or rehabilitate homes for low-income households. Some Project Based programs, like LIHTC, create units that are guaranteed to remain affordable for qualifying households whereas programs like Project-Based Section 8 create apartments where rental assistance payments are made directly to landlords on behalf of occupying tenants.

More Housing Policy, Landlords, and Tenants FAQs from Low Income Households

  • How many bedrooms am I eligible for?
  • How much would my rent be?
  • Can I be evicted if my HUD apartment is sold?
  • How Much Are Section 8 Housing Choice Vouchers Worth
  • What is HUD?