Renters receiving Section 8 housing assistance could soon see higher costs, as new Fair Market Rents (FMRs) and updated utility allowances take effect across the United States. Understanding the latest HUD rules can help tenants avoid surprises and protect their housing benefits.
How new Fair Market Rents affect tenants
HUD sets Fair Market Rents annually to reflect the cost of moderately priced rental housing in local markets. In 2025, many areas are seeing rent ceilings rise due to ongoing inflation and tight rental inventories.
If your landlord decides to raise rent, the new FMRs will determine whether the increase fits within Section 8 program limits. In general, tenants cannot be charged more than 30% of their adjusted gross income for rent and utilities combined.
60-day notice rule for rent increases
HUD requires landlords to provide tenants at least 60 days’ written notice before any rent increase takes effect. This federal rule applies to all Housing Choice Voucher (HCV) participants. If you receive less notice, you may have grounds to delay or contest the change with your local public housing authority.
Tenants should keep copies of all rent increase notices and promptly report them to their housing caseworkers.
Verifying income and household size
It’s important to update your income and household information with your housing authority if anything has changed. Rent calculations are based on:
- Total household income
- Number of household members
- Deductions for dependents, disabilities, or medical expenses
Outdated information could result in incorrect rent payments or jeopardize your voucher.
Updated utility allowances could help
Utility allowances—the estimated cost of tenant-paid utilities—have also been revised in many areas for 2025. Higher allowances can offset rent increases by reducing the amount tenants must pay out-of-pocket.
Check with your housing authority to review the new utility schedules and request adjustments if needed.
What tenants should do now
- Review your lease and check when your annual recertification is due.
- Track any communications from your landlord about rent changes.
- Confirm that your housing authority has your correct income documents on file.
- Ask your housing specialist about updated FMRs and utility allowances for your area.
For more information, visit hud.gov/hcv or contact your local housing authority.
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