24 C.F.R. § 886.325
§ 886.325 Overcrowded and underoccupied units. (24 CFR Part 886)
Operative Text
(a) Change in family composition, family's notification. The family shall notify the owner of a change in family composition and shall transfer to an appropriate size dwelling unit, based on family composition, upon appropriate notice by the owner of HUD that such a dwelling unit is available. Such a family shall have priority over a family on the owner's waiting list seeking the same size unit. (b) Change in family composition, owner's responsibilities. Upon receipt by the owner of a notification by the family of a change in the family size, the owner agrees to offer the family a suitable unit as soon as one becomes vacant and ready for occupancy. If the owner does not have any suitable units or if no vacancy of a suitable unit occurs within a reasonable time, HUD may assist the family in finding a suitable dwelling unit and require the family to move to such unit as soon as possible. (c) HUD actions if appropriate size unit is not made available. If the owner fails to offer the family a unit appropriate for the size of the family when such unit becomes vacant and ready for occupancy, HUD may abate housing assistance payments to the owner for the unit occupied by the family and assist the family in finding a suitable dwelling unit elsewhere.
Under 24 CFR Part 886 § 886.325, families living in HUD-assisted housing are required to report changes in household size to their owner, and when a properly sized unit becomes available, they are expected to transfer to it. Owners, in turn, must offer a suitable unit to a family whose household size has changed as soon as one becomes vacant and ready. If an owner fails to make an appropriately sized unit available, HUD has the authority to suspend housing assistance payments for the unit the family currently occupies and to help the family find a suitable unit elsewhere.
Plain English — not legal advice.
Under § 886.325, compliant operators generally maintain a process for receiving and documenting family-composition change notifications and track unit availability so that a suitable unit can be offered as soon as one becomes vacant and ready for occupancy. Operators are expected to give priority to existing families with a documented size mismatch over new applicants on the waiting list seeking the same unit size. Failure to offer an appropriately sized unit when one becomes available can expose an owner to HUD abatement of housing assistance payments for the currently occupied unit, making timely responsiveness to family-composition changes an important operational practice under § 886.325.
General guidance for property managers — not legal advice for your specific situation. Consult an attorney for advice on your case.
Section 886.325 gives families in HUD-assisted housing the right to be offered a unit that matches their household size when one becomes available, and families who have reported a composition change receive priority over others on the waiting list for the same unit size. If an owner does not offer a suitable unit within a reasonable time after being notified of a household change, § 886.325 authorizes HUD to step in and help the family locate an appropriate unit. Tenants who believe an owner has not honored these obligations may consider contacting their local HUD field office, reaching out to a tenant-rights organization, or reviewing HUD's formal complaint processes to understand what options may be available.
General guidance for tenants — not legal advice for your specific situation. Consult a tenant-rights organization or attorney for advice on your case.
Generated September 4, 2026 — auto-generated, not yet human-reviewed. See /transparency for methodology.
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