Rent Reasonableness Toolkit

Novogradac and Company LLP in cooperation with Quadel Consulting Corporation has created an on-line tool to help voucher programs meet their rent reasonableness needs. The CompsMart+ Rent Reasonableness EstimatorSM (Estimator) is a highly accurate, user-friendly, web-based rent reasonableness tool for Housing Choice Voucher Programs.

rrtoolkit

Agencies struggle constantly to find up-to-date data on the private rental market to guide these decisions. If they use old or poor-quality data, they end up approving rents that are too high or too low. If they do not document their decisions adequately, they are at risk in HUD audits.

The new Estimator is a practical, cost-effective way for agencies to remedy these headaches. The Toolkit:

• Meets HUD’s regulatory requirements for contract rent determinations
• Provides clear, consistent documentation for tenant files
• Is quick to learn and easy for PHA staff to use
• Is cost-effective for most voucher programs.

Unlike other rent reasonableness methods that use just a few data points, the Toolkit uses a statistically representative sample of a region's full rental housing market to show whether a proposed rent is reasonable. This sample can be updated as the market changes.

Novogradac can implement the Toolkit in housing markets nationwide. Once under contract to a PHA or group of PHAs, Novogradac staff will:

• Collect representative rental market data
• Analyze the market data statistically and customize a rent calculator that will suggest an appropriate rent for each new HCV unit
• Provide the PHA(s) password access to a web site where the customized database and rent calculator are maintained (via a web browser supplied by PHA)
• Train PHA staff on site
• Provide complete system documentation
• Assign a direct point of contact to provide customer support

For further information contact Brad Weinberg at 240.235.1701.