What is a Disability Rent Increase Exemption
Some people have a limited income because they have a disability. This limited income means that they need to have a set level of expenses so that they can budget properly and be able to survive. A disability rent increase exemption [DRIE] allows people with a qualifying disability to be exempted from standard rent increases that typically happen in every market. It is a program that is used extensively in New York City, but may be applied in any community.
Who Qualifies For a Disability Rent Increase Exemption?
There are certain qualifications that a tenant must meet in order for them to qualify for an exemption program like this. It all starts with their age. A tenant must be 18 years old in order to apply. They must also meet some additional standards. Income levels. In New York City, a tenant cannot earn more than $50k annually as a household in order to qualify for a DRIE. Have high rental spending. 33% of a tenant's income must go to rental payments. Receive specific disability benefits. The two most common forms of disability that are received in the US are SSI and SSDI. Pensions from the VA or Medicaid may also qualify as disability benefits. Live in federally insured housing. The property where a tenant lives must be covered by the National Housing Act's Section 213. Tenants must also be named on the lease in order to qualify for a DRIE. In New York City, if a tenant has been granted succession rights, then they can also apply for this program.
Why Should Landlords Enroll Eligible Tenants?
Although having a DRIE in place seems like it would be a bad thing for landlords, in New York City it really isn't. Landlords that have tenants which qualify for exemptions will receive tax credits that help to make up the differences in income. If rent has been frozen at $1,000 per month, but on the open market the landlord could receive $1,500, then that one unit would provide the landlord with a $6,000 tax credit. Applying for a DRIE is easy. For communities that have them, an online application can be filled out to get the process going. Proof of the disability and income statements are general requirements that are always necessary to facilitate approvals. Households that have multiple sources of income, such as child support or settlement payments, in addition to a disability may need to seek out legal advice about their specific situation. The benefit of a disability rent increase exemption program is that it allows disabled tenants to have a warm home, tax credits for landlords, and affordable rent to be found. As long as qualifications for the property and the tenant are met and renewed annually, someone with a disability can pay the same amount in rent over the course of their stay on that property without ever worrying about having to pay more.
When it comes to having a tenant for the first time, it can be pretty daunting because you are going to be the corresponding landlord and a new relationship will emerge, which will need time to grow... More
Many times, there are issues between a landlord and a tenant that need to be resolved but are failed to do so, because both parties have gone too far with their actions, and have retaliated in the... More
The landlord and tenant laws in California are literally the same as they are in any other state. These laws, rules and regulations are put into practice because they uphold an order, a discipline,... More
People are aware that there are different rulings in each state with reference to the landlord/tenant laws. The state of Illinois also has a set of laws. These rules and regulations are basically... More
Where there is a landlord, there will also be a tenant, and it is no surprise that these two parties can only work together once there is some sort of agreement, contract or a binding deal in place.... More
Many landlords find it difficult to write and draft a lease agreement. Since every State has its own general template, it can also be difficult to make sure your lease agreement meets all the criteria... More
All landlords know that before they can formally become a landlord there are a lot of things they need to understand. Landlords and tenants cannot act as such without any legal bodies involved. That... More
When it comes to being a landlord, one should know that it is not for the unprepared individual. This should be clear that being a landlord does not simply mean that you will be taking the rent and... More
Becoming a landlord is a major deal and no one can simply get up and think, “well, yes I think I should be a landlord and rent out my flat.” If you are thinking that you would like to be a landlord,... More
If you’re a landlord and want to manage your business in a better way, you should endeavor to get in touch with those industry experts who have the experience and the skills to help you do it. This is... More