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HUD Handbook 4350.3: Occupancy Requirements of Subsidized Multifamily Housing Programs

Example – Owners Requiring Tenants to Restore Units to Their Original Condition

HUD Handbook 4350.3 REV-1 — Occupancy Requirements of Subsidized Multifamily Housing Programs · 2026 edition · updated 2026-10-05 · United States

For marketing reasons or operational considerations, the owner may require the tenant to raise cabinets that have been lowered or replace roll-under lavatories with the previously existing vanity/sink combination.

  • C. Owners may not require any increased security deposits for persons with disabilities. However, where it is necessary in order to ensure that funds will be available to pay for restorations at the end of the tenancy, the Fair Housing Act allows the owner to negotiate as part of a restoration agreement, a provision requiring that the tenant pay into an interest bearing escrow account, over a reasonable period, a reasonable amount of money not to exceed the cost of the restorations. The interest of such an account must accrue to the benefit of the tenant.

HUD Occupancy Handbook Chapter 2: Civil Rights and Nondiscrimination Requirements

6/07

2-43

Section 3: Additional Nondiscrimination and Accessibility Requirements for Persons with Disabilities Subsection 5: Additional Fair Housing Act Requirements

4350.3 REV-1

  • D. Owners may condition permission for a modification on the tenant’s providing reasonable assurances that the work will be done in a workmanlike manner and that any required building permits will be obtained.

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▸Contents — HUD Handbook 4350.3 REV-1 — Occupancy Requirements of Subsidized Multifamily Housing Programs

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