HUD HCV Guidebook § 2.3

Renting to Relatives (HUD HCV Guidebook)

HUD guidance — not codified law
In Force
Verified 11/9/2026 · Next check 11/16/2026
effective 9/25/2026FederalSection 8 HCV

Operative Text

HUD HCV Guidebook § 2.3
A PHA must9 not execute a HAP contract when the owner of the unit is a relative of the family to be
assisted, unless approving such a tenancy would provide reasonable accommodation for a family
member with disabilities. Prohibited owner-family relationships include parent, child, grandparent,
grandchild, sister, or brother of any member of the assisted family. Contracts that were executed on
or prior to June 16, 1998, on behalf of related owners and families that remain in place may
continue.
Source: Legislative text reproduced verbatim
Plain English

Under HUD Housing Choice Voucher Guidebook § 2.3, a Public Housing Authority (PHA) is generally barred from entering into a Housing Assistance Payment (HAP) contract when the unit's owner is a close relative—specifically a parent, child, grandparent, grandchild, sister, or brother—of any member of the assisted family. A narrow exception exists when approving the arrangement would constitute a reasonable accommodation for a family member with a disability. HAP contracts between related owners and families that were already in place on or before June 16, 1998, are permitted to continue under a grandfather provision.

Written by anthropic/claude-sonnet-4.6 · Reviewed on September 26, 2026

Plain English — not legal advice.

For Property Managers

Property owners participating in the Housing Choice Voucher program should be aware that HUD Housing Choice Voucher Guidebook § 2.3 prohibits PHAs from executing new HAP contracts where the owner and the assisted family share a close familial relationship, such as parent-child or sibling ties. Compliant operators typically disclose any family relationships to the PHA during the application process and do not pursue new voucher-assisted tenancies with relatives unless a documented disability-related reasonable accommodation applies. Owners with pre-existing contracts established on or before June 16, 1998, should retain documentation confirming that the arrangement predates the cutoff.

General guidance for property managers — not legal advice for your specific situation. Consult an attorney for advice on your case.

For Tenants

Under HUD Housing Choice Voucher Guidebook § 2.3, voucher holders have a right to know that their PHA cannot approve a rental arrangement with a close relative—such as a parent, sibling, or grandparent—unless the tenancy is needed as a reasonable accommodation for a household member with a disability. Families who believe a disability-related exception applies can request a reasonable accommodation through their PHA and document the need accordingly. Tenants seeking to understand how this rule affects their housing search may consult their local PHA, a HUD-approved housing counseling agency, or a tenant-rights organization for general guidance.

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 26, 2026 — auto-generated, not yet human-reviewed. See /transparency for methodology.

Effective Timeline

Current
Sep 25, 2026
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Related Rules

§ 888.113
§ 888.113 Fair market rents for existing housing: Methodology.
§ 888.115
§ 888.115 Fair market rents for existing housing: Manner of publication.
§ 0770-01-05-.05
CONFLICT OF INTEREST.

Source Information