By Federal regulation, a housing agency must ensure that rents charged by owners to housing choice voucher program participants are reasonable. This determination involves two comparisons.

First, the rent charged for the voucher unit must compare to rents for similar unassisted units in the marketplace. Second, the IHA must compare the voucher unit rent to rents for similar units on the premises. All units compared must have the same amenities. The IHA must determine rent reasonableness before entering into a HAP contract and before any increase in the rent to owner.

Before the IHA will approve any rent increase proposed by the owner and accepted by the program participant, the IHA must determine and document whether the proposed rent is reasonable compared to similar units in the marketplace and not in excess or higher than those paid by unassisted tenants at on the premises.

In determining comparability, the IHA must consider:

• Location, quality, size, unit type, and age of the contract unit, and

• Amenities, housing services, maintenance, and utilities to be provided by the owner must provide in accordance with under the lease.