HUD RELEASES 2012 ANNUAL ADJUSTMENT FACTORS
The U.S. Department of Housing and Urban Development (HUD) today published fiscal year 2012 Annual Adjustment Factors (AAFs) for the Section 8 Housing Assistance Payments (HAP) program. Owners participating in HAP programs including the New Construction, Substantial Rehabilitation and Moderate Rehabilitation programs; Loan Management and Property Disposition programs; and the Project-Based Certificate program are required to provide annual adjustment to monthly rentals for units under the contract. AAFs are used to adjust rents for units during the initial term of the HAP contract and for all units in the Project-Based Certificate program. The factors are based on a formula using residential rent and utility cost changes from the latest annual Bureau of Labor Statistics Consumer Price Index survey.