Rent rate charged is different from calculated rate

Housing providers can only charge a rate lower than the rate of Income Related Rent calculated where:

• there are special circumstances or
• there is no material difference between the rent charged and the rate calculated by MSD

Generally, the rate of Income Related Rent calculated by MSD will be the same rate that the housing providers charge as rent to their tenant.

In special circumstances, the housing provider can make a decision to charge a rent lower than the rate of Income Related Rent calculated.

Special circumstances can be considered where, for example, the housing provider is renovating a property or the property is not of 'market' quality.

Note housing providers cannot claim for additional Income Related Rent Subsidy when this decision is made.

Generally, the rate of Income Related Rent calculated by MSD will be the same rate that housing providers charge as rent to their tenants.

On receiving notification of a new rate of Income Related Rent calculated, housing providers may decide not to increase the rent they charge if they consider it would not make a material difference (to the rate of rent charged).

Note housing providers can claim for additional Income Related Rent Subsidy when this decision is made.

The housing provider cannot charge a rent greater than the market rent rate for the property, which is the maximum rent a social housing client can be charged.

The rate of Income Related Rent calculated can be higher than the market rent rate. In this situation housing providers must not charge more than the market rent rate.

The housing provider may increase the rent if the market rent rate increases, but the rent cannot be increased to a rate more than the last notified rate of Income Related Rent.