by I learned about a tenant who moved in with a Veterans housing subsidy from an East County property manager. Everything proceeded according to plan until the subsidies ended less than a year later. The tenant was unable to pay the rent without it. In the end, the property management had to find a new tenant after bearing the loss.
People typically think of the tenant when they think of housing vouchers. And it’s true that tenants require assistance. For a family attempting to start over, stable housing can make all the difference.
However, there is another side to the matter: that housing must be provided by someone. Both landlords and tenants are put in a difficult situation when vouchers are erratic, inadequate, or enmeshed in bureaucratic red tape.
The federal government is already discussing cutting back on financing and capping rental assistance through HUD programs like Section 8 at two years. It may seem like reform, but in practice, it’s a prescription for disaster—not just for the families who need the assistance, but also for the housing providers who depend on that revenue to stay in business.
There are already warning indications. Los Angeles is being forced to lower the amount covered by its Section 8 vouchers due to reductions in federal funds. Families could have to move out of their preferred neighborhood or downsize as a result. It might imply that there are fewer housing possibilities available to individuals who have vouchers in hand. Additionally, as the program currently has substantial waiting lists, it may not be possible to issue fresh vouchers.
If municipal authorities don’t come up with their own money to cover the shortfall, San Diego might be the next.
Tenants will be evicted and landlords’ ability to finance rental housing throughout San Diego County will be unstable if the Section 8 modifications take effect. Local landlords who own properties of all sizes may be affected, but those who own fewer units may have extreme financial difficulties.
The larger issue is that the entire program is growing increasingly erratic and challenging to use. The options available to housing providers will be limited if renters stop supporting them. It’s more than just a theory. More than 40% of local housing providers reported dealing with unpaid rent this year, according to our most recent Southern California Rental Housing Association poll. In many cases, the issue was caused by delayed or interrupted voucher payments.
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At the federal, state, and municipal levels, rental housing vouchers and other rental assistance programs ought to be given top priority. This may entail providing seniors with limited subsidies, making up the difference when rent is late, and rewarding owners who welcome voucher holders with bonuses. These kinds of initiatives, supported by both public and private entities, are already yielding positive outcomes.
Above all, these voucher schemes need to be continuous, reliable, and easy to use. Stable, to put it simply.
The goal of rental assistance is to retain individuals in their homes. However, it is only effective if it benefits both landlords and tenants.
The housing problem in California is difficult enough. We don’t need any more doubt. In order to maintain people in their homes and ensure that the people who provide those houses are not left holding the bag, we need programs that are stable and intelligent.
The executive director of the Southern California Rental Housing Association is Alan Pentico.
