If a household's income increases and they begin paying full contract rent, what happens?

When a household's income increases significantly enough that they begin paying full contract rent, their assistance typically terminates automatically. In most housing assistance programs, one of the primary eligibility criteria for maintaining assistance is that the household's income must remain below a specified threshold. Once their income surpasses this threshold, the household no longer qualifies for the subsidy, resulting in the automatic termination of their assistance.

This reflects the designed purpose of housing assistance programs, which aim to support low-income families. As a family's financial situation improves, they are expected to transition out of reliance on such assistance. The assistance program is structured to encourage self-sufficiency and to allocate resources to those in greater need.

Other options may suggest alternative outcomes, but they do not align with the standard protocol followed in housing assistance programs related to income changes. For instance, remaining an assisted tenant or receiving a grace period would generally not apply once a household's income qualifies them for full rent payment, as those options would imply the continuation of assistance despite increased income.