Frequently Asked Questions

What is rent reasonableness?

Rent reasonableness is a HUD requirement that ensures rents paid with federal housing assistance funds are comparable to similar unassisted units in the same market. It protects program integrity and ensures fair use of taxpayer dollars.

Per 24 CFR 576.106(d) for ESG and 24 CFR 578.49(b)(2) for CoC programs, grantees must document that proposed rents are reasonable before approving rental assistance.

Which programs require rent reasonableness?

Rent reasonableness verification is required for many federal housing programs:

• ESG — Emergency Solutions Grants
• CoC — Continuum of Care Program
• HOME — HOME Investment Partnerships Program
• HOPWA — Housing Opportunities for Persons With AIDS
• SSVF — Supportive Services for Veteran Families
• Section 8/HCV — Housing Choice Voucher Program
• VASH — HUD-VASH Veteran Housing
• CDBG — Community Development Block Grants (housing activities)

How does VerifyRent determine reasonableness?

We use a two-tier analysis approach:

1. Market Comparison: We analyze current rental listings and recently leased properties in the area to establish market rates. The proposed rent is compared against these comparables.
2. HUD Fair Market Rent: We pull official FMR data from HUD to provide additional context, especially important for ESG programs that require rents at or below FMR.

A rent is typically considered reasonable if it's within 110% of the market estimate, based on analysis of comparable properties within the same geographic area.

What's the difference between rent reasonableness and FMR?

Fair Market Rent (FMR) is a HUD-published figure representing the 40th percentile of gross rents in a given area. It's a regulatory limit, not a market analysis.

Rent Reasonableness is a comparison of the proposed rent to actual comparable units in the market. A rent can be "reasonable" (at or below market) but still exceed FMR, or vice versa. Different programs have different requirements:

• ESG requires rent at or below FMR
• CoC requires rent reasonableness (may exceed FMR if market supports it)

Where does your market data come from?

We use RentCast, one of the largest rental market databases in the United States, with data from over 140 million properties. Our market estimates are based on active and recently rented listings, providing current, accurate pricing data. HUD Fair Market Rent data is pulled directly from the HUD User API.

How many credits do I get for free?

Every account receives 5 free credits per month. These reset on the 1st of each month and do not roll over. When you purchase additional credits, we always use your free credits first so your purchased credits last longer.

Do purchased credits expire?

No! Purchased credits never expire. Buy them when you need them and use them at your own pace.

Can I use these reports for HUD monitoring?

Yes. Our reports are designed to meet documentation requirements for ESG and CoC program monitoring. Each report includes the property details, comparable analysis, market data sources, and a certification section for your authorized representative's signature. Reports include a unique verification code that can be used to confirm authenticity.

What if I need more than 500 credits?

For high-volume users, public housing authorities, or organizations needing API access, please contact us at enterprise@verifyrent.org for custom pricing and integration options.

How do I get support?

For technical support or questions, email us at support@verifyrent.org. We typically respond within one business day.

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