Average Monthly Contract Rent for Rent-Subsidized Housing on the Section 8 Housing Choice Voucher Program
Definition: The Columbia Housing Authority’s Section 8 Housing Choice Voucher Program provides housing subsidies to approximately 1,100 households in Columbia and Boone County. The contract rent paid to an individual landlord is based on current market conditions but may not exceed a Fair Market Rent (FMR) standard established by the U.S. Department of Housing and Urban Development (HUD) for the Columbia Metropolitan Statistical Area (MSA). The FMR is established at a rate set equal to the 40% level of the average rental housing price in the MSA based on the bedroom size and type of the housing unit. This is to ensure that HUD pays a reasonable price for rental housing subsidies based on local market averages.
The Average Monthly Contract Rent reported here is an average of the actual monthly rent paid by the Section 8 Housing Choice Voucher Program for all types of housing of the same bedroom size in that reported calendar year. Section 8 assisted households pay approximately 30% of their adjusted household income as their share of the monthly contract rent and the Columbia Housing Authority pays the balance.
Rationale: This statistic meets most Boone County Indicators criteria and shows the burden of rental housing costs on low-income families based on the size of the rental housing unit.
Data Source: The Columbia Housing Authority’s Section 8 Housing Choice Voucher Program. The Fair Market Rent is determined on an annual basis by the U.S. Department of Housing and Urban Development for the Metropolitan Statistical Area that includes the City of Columbia, Missouri.