C. Key Requirements — HUD Handbook 4350.3 REV-1

Owners must not prohibit tenants from having common household pets in the tenants’ units or discriminate against applicants based on their ownership of a pet.
An applicant may reject an available unit if this unit is close to another unit with a pet. This action must not negatively affect the family’s application for occupancy or position on the waiting list to be eligible for the next available unit. The owner is not obligated at the time the applicant rejects a unit to provide an alternate unit.
Property owners may refuse to register a pet if:
- a. The pet is not a common household pet (see Glossary for definition of Common Household Pet);

HUD Occupancy Handbook Chapter 6: Lease Requirements and Leasing Activities

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Section 1: Leases and Lease Attachments

4350.3 REV-1

b. The keeping of the pet would violate any applicable house rule; or
c. The pet owner fails to provide complete pet registration.

Pet rules:
- a. Must include the mandatory rules identified in Exhibit 6-4. Mandatory rules are the obligatory rules that must be prescribed for inoculations, sanitary standards, pet restraints, registration, and written notification to a pet owner if an owner refuses to register a pet.
- b. May include additional discretionary rules, but they must be reasonable. Discretionary rules are the rules that may be developed by the owner. Tenants must be consulted in developing discretionary rules, as discussed in Exhibit 6-5.
- c. Exhibit 6-4 identifies mandatory pet rules as well as possible discretionary pet rules.
Owners must make sure that pet rules do not conflict with applicable state or local law or regulations. If such a conflict exists, the state and local law or regulations apply.
For requirements on developing pet rules, see Exhibit 6-5.
Owners may modify the rules at any time. When doing so, they must follow procedures for notice and consultation. (See Exhibit 6-5.)
A pet owner violates pet rules when he/she fails to act according to the mandatory and discretionary rules.
When a pet’s conduct or condition causes a threat or nuisance to the health or safety of the property’s occupants, its owner violates the pet rules. State and local law determines the criteria for the conduct and conditions that are a threat or nuisance to the tenants of a property. Property owners should check with state or local law to find the appropriate definition for their jurisdiction.
In addition to the information presented here, an owner should consult HUD Handbook 4350.1, Multifamily Asset Management and Project Servicing , for further information and details relating to pet rules and regulations.

NOTE: See paragraph 5-10.C.4 for information on expenses for assistance animals. Expenses for assistance animals are deductible when calculating a tenant’s annual income, because they may be counted as medical expenses. However, expenses for common household pets are not deductible when calculating annual income.