This past summer, New York City’s Housing Preservation and Development department updated the application process for affordable housing lotteries, so it would be easier for New Yorkers looking for new homes. What this means for you is that now your chances of finding affordable housing are much higher! The housing handbook isn’t an easy read, so IMPACCT Brooklyn is going to walk you through some of the most important changes in the document.We’ll start with part one: changes to the application process, tenant selection, and rejection & appeal process.
CHANGES TO THE REJECTION AND APPEAL PROCESS
- We’ve got big news! Marketing agents may no longer reject applicants based solely on a low credit score. Instead, credit score may only be used now as an indicator of financial stability (that means it’ll be used alongside a number of other indicators of your financial situation). Marketing agents are also now forbidden from: looking up an applicant’s debt-to-income ratio, or their lack of credit or rental history; getting in touch with guarantors, co-signers, previous landlords or neighbors; visiting your current home; or relying on photos, videos, or personal references in making a decision.
- If you’ve paid off your debt, don’t worry! Settled and satisfied accounts will not be considered, and won’t be held against you.
- Did you fail to qualify based on credit, or housing court history criteria? Well, you have a right to appeal based on a positive rental history. If you choose to do so, you’ll have to provide evidence of consistent, complete, on-time payments for the preceding 12-month period.
- If you’re rejected based on poor credit, at least you’ll know exactly why. Going forward, rejection letters must include the negative credit findings, and the specific standards an applicant failed. If applicants choose to appeal, they’ll have to prove that the negative credit finding was fixed prior to the date of the rejection letter (in short, before the applicant was rejected).
- There are now new protections for victims of domestic abuse. Applicants may now appeal a rejection if the reason for said rejection is directly related to being a victim of domestic violence.
- Student loan and medical debt doesn’t count against you, anymore! However, rejection is possible if you’ve declared bankruptcy within twelve months prior to the date of your credit report or if your debt is greater than $5,000 and/or 120 days past due.
Struggling to get your finances in order? IMPACCT Brooklyn can help! Our FREE Personal Finance workshop is designed to create meaningful change in your life. Click here to learn more and sign up.
CHANGES TO THE APPLICATION PROCESS
- There’s a chance that, when HPD reaches your name on the waitlist, there won’t be any units available to suit your needs. if that happens, you’ll receive a notice and stay on the log until a unit becomes available, or until the log expires. If the log expires, applicants will be contacted.
- HPD used to refer to meetings with marketing agents as “interviews;” now, they’re called “eligibility appointments,” and applicants will have the option to schedule them on evenings and weekends going forward.
CHANGES TO THE SELECTION PROCESS
- If the number of people in your household changes between the day you apply and the day of your eligibility appointment, you’ll still be eligible for an apartment, IF the total number of people in your updated household is still eligible for the new unit. For example, if you’re a household of four people and you applied to a unit to house four to six people, you’d still be eligible for the unit if you added another person to your household. Makes sense? However, if your household composition changes after your eligibility appointment, your application will be deemed low priority. You’re responsible for proving that the change is due to extenuating circumstances.
- Have you recently separated with your spouse, or partner? That’s too bad! You’ll have to provide legal proof of said separation when applying. If you don’t have legal proof of separating, you’ll have to provide an explanation and documents to support your story.
Ready to take the next steps in applying for affordable housing? Be sure to attend IMPACCT Brooklyn’s upcoming Affordable Apartment Lottery seminar! Space is limited, so be sure to sign up quickly!
Stay tuned for “The Housing Lottery Just Got Easier, part 2,” coming next week!
