CHARLOTTE, N.C. — As development grows in the Queen City, so does rent. For those in need of a little extra assistance, low-income housing stands as one potential solution. However, is there a rental cap associated with low-income housing?
WCNC Charlotte viewer Jalen emailed the Verify team wanting to learn more about any rent caps that may be placed on low-income housing in North Carolina.
THE QUESTION
Are landlords in North Carolina are allowed to raise the rent as high as they want in low-income housing?
OUR SOURCES
- Kim Graham with the Greater Charlotte Apartment Association
- Scott Farmer, the Executive Director of the North Carolina Housing Finance Agency
WHAT WE FOUND
According to the federal government, housing is considered affordable if a family spends no more than 30% of their income to live there.
When it comes to renting under the law, North Carolina is one of many states that is not rent-controlled. But does that also apply to low-income housing?
"It really varies by program," Farmer said. "We operate a number of programs through our agency."
Farmer said there are a lot of different programs with different rules and regulations. He said the most popular program in North Carolina is the low-income housing tax credit, which does have a rent cap, depending on income.
"So if the incomes that HUD publishes on an annual basis, if those incomes go up, then the owners of those properties can increase those rents up to those maximum levels each year as long as they don't exceed those maximum levels," Farmer said.
Landlords most often don't increase your rent during your lease. However, when the lease is up they can increase it.
"It is expected that rental housing providers will act in good faith and generally, rent increases don't happen until the lease term has ended, whether that's a month-to-month lease, or whether that's a yearly or some other lease term," Graham said.
So depending on which low-income housing program you are a part of, make sure to look at the terms. Some of those programs can be found through the Mecklenburg County Affordable Housing Initiatives website.
Contact Meghan Bragg at mbragg@wcnc.com and follow her on Facebook, X and Instagram.
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