More than 50,000 low-income families in Los Angeles rely on the Section 8 housing choice voucher program to afford the city’s exorbitant rents. However, recent budget cuts from the Trump administration are set to decrease the support these vouchers provide, leaving many tenants in precarious positions.
Starting August 1, rent limits for new Section 8 leases will decrease by 10%. This adjustment has raised concerns among advocates for low-income renters, as tenants may have to make difficult choices about their living situations. Heeyoung Linda Park, an attorney at the Legal Aid Foundation of Los Angeles, stated, “They have to settle for worse or smaller housing, or they could lose their voucher.”
The mechanics of the Section 8 program require tenants to contribute approximately one-third of their income toward rent, with the federal government covering the remainder. While existing leases will not be affected by these changes, they will significantly impact those who have obtained a voucher but have not yet secured a rental property.
California law prohibits landlords from discriminating against potential tenants solely because they participate in the Section 8 program. Unfortunately, undercover testing has demonstrated that many landlords in the Los Angeles area still do not rent to these voucher holders.
According to Javier Beltran, deputy director of the L.A.-based Housing Rights Center, the reduction of payment caps will complicate tenants’ efforts to find rentals in more affluent neighborhoods. This contradicts one of the central objectives of the Section 8 program, which aims to promote housing integration and move families out of impoverished areas. Beltran remarked, “It keeps it more segregated to the areas that are just poor, low-income neighborhoods.”
The updated rent caps vary across different ZIP codes in Los Angeles. For instance, the current cap for a one-bedroom apartment in the 90034 area of Palms is $2,820 per month. However, following the changes in August, this limit will drop to $2,585 per month. As reported by RentCafe.com, the average rent for similar units in Palms currently sits at $2,815, further straining the options available to tenants.
Earlier this year, the city halted the issuance of new Section 8 vouchers due to budget limitations imposed by the Department of Housing and Urban Development (HUD). Carlos Van Natter, the Section 8 director for the L.A. housing authority, noted that upcoming federal budget cuts could further restrict the city’s capacity to bring new tenants into the program.
“Our first concern is not to negatively impact people already receiving assistance,” Van Natter added, emphasizing the authority’s commitment to current voucher holders.
Like many cities nationwide, Los Angeles has a shortage of Section 8 vouchers relative to the number of low-income renters who qualify. In 2022, when the city reopened its waitlist for the first time in five years, around 225,000 people applied, revealing the vast demand for housing assistance. Currently, approximately 24,000 applicants remain on the waitlist, with officials uncertain about when new vouchers can be issued again.
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