AN INDIVIDUAL WHO HAPPENS TO HOLD A VOUCHER IS NO MORE OR LESS LIKELY TO BE A MODEL TENANT THAN ANYONE ELSE.
Source of income is one of the protected categories that is commonly adopted at the state level as part of the state’s fair housing law. Currently, there are 15 states that have added source of income as a protected category at the state level (California, Colorado, Connecticut, Delaware, DC, Illinois, Maryland, Massachusetts, New Jersey, New York, Oregon, Rhode Island, Utah, Virginia, and Wisconsin). This means that any rental property, regardless of funding type, program, or preferences, can be held liable for a violation of the state fair housing law if it is found to have discriminated against an applicant or tenant based on the individual’s source of income. In these states, if an individual is either directly aware or suspects that their source of income was the reason for their application denial, they can initiate the (simple and free) process of filing a fair housing complaint with their state enforcement agency. For a housing provider, responding to these complaints involves producing documents and participating in staff interviews, which either results in a conciliation (settlement) or an agency determination. Although a complaint investigation may ultimately result in a finding that no violation occurred, it goes without saying that taking steps to avoid involvement in the costly and time-consuming investigation process is highly recommended.
If your company owns or manages properties in a state that has not adopted source-of-income protections, be warned--you aren’t necessarily free to refuse housing voucher holders. Many localities have added source-of-income protections as well. Miami-Dade County, Atlanta, Louisville, and Charlotte are just a few out of many examples of local jurisdictions that have protected source of income in the rental market, but are located in states that have not (Florida, Georgia, Kentucky, and North Carolina respectively). If your company or property intends to maintain a policy or practice of rejecting applicants who are voucher holders because of their status as a voucher holder, it is important to be aware of any state or local laws that may prohibit discrimination on the basis of source of income. If you’re not sure and don’t know where to find that information, it would be a good idea to consult with an attorney. However, before making an effort to validate your company’s practice of refusing to house voucher holders, it is recommended that the reasons behind this type of policy be reexamined. True, the Section 8 program does place some additional obligations on a landlord, like additional paperwork and housing inspections. (These concerns, however common or legitimate, are not a defense to refusing to house a voucher holder in states where source of income is protected).
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