Charlottesville Landlord Risk Reduction Fund

From Cvillepedia
Jump to: navigation, search

The Charlottesville Landlord Risk Reduction Fund (CLRRF) was created in 2017 to help encourage more property owners to rent to people on federal housing vouchers. [citation needed]


Logo-small25.jpg This article is a stub. You can help cvillepedia by expanding it.

  • June 19, 2017: Program presented to City Council by Stacy Pethia, Charlottesville's Housing Program Coordinator. [2]
Direct from presentation material:
A summary of the recommendations is provided below:
Recommendations for Immediate Action with Immediate Benefits. The recommendations presented under this category include actions City Council can take today, that will begin having a positive impact on affordable housing goals in the near future (3 – 6 months).
Two of the recommended programs – the Landlord Risk Reduction Fund and the Supplemental Rental Assistance Program – have the potential to increase affordable rental housing in the City within several months of implementation.
The Landlord Risk Reduction Fund is a tool designed to provide financial assistance to landlords to mitigate damages caused by low-income/rental assistance tenants as a result of their occupancy.
Background: Risk reduction funds have been successfully implemented by cities across the country, often in response to very low vacancy rates and high housing costs in their areas. According to an April 2016 report by the U.S. Interagency Council on Homelessness, of the four city-managed risk reduction funds highlighted in the report, few programs report excessive use of the fund by landlords. Each program has, however, successfully recruited new landlords into affordable housing programs.
Locally: the fund would be used to encourage private market landlords, often reluctant to lease unit to lower-income household due to perceived risks associated with housing families most in need, to provide affordable rental units. Landlords would be able to access the fund to help cover the cost of unit repair, in exchange for agreement to re-let the unit to at affordable price. In addition to loss mitigation, the fund may also act as security deposit waiver tool to assist low-income households secure affordable rental housing. Interested landlords would agree to waive a new tenant’s security deposit in exchange for the ability to access the risk reduction fund if necessary at lease termination.
The goals of the risk reduction fund are:
  • Reduce private market landlord concerns regarding rental income loss due to property damage,
  • Preserve the number of rental units available in the City to low-income households,
  • Increase the number of City landlords willing to lease affordable units to low-income families.


External Links