MMAMnet

On May 19, 2008, HUD issued RHIIP Listserv Posting #102, which provides new guidelines on the HUD Model Leases. HUD published new leases with OMB approval and these leases cannot be modified. All changes to the lease must be included in an addendum. MMAM has obtained HUD approval for the Michigan Lease Addendum, which includes the required Michigan lease provisions. The Michigan Lease Addendum must be used with all leases. If you have a prior HUD approved, modified late fee, you must create a late fee addendum – since the lease cannot be modified. All other addendums must receive HUD approval prior to use.

You will find the following two leases located at the bottom of this page:

The Appendix 4-A, the Subsidized (Section 8) Model Lease, HUD has assigned a form number (form HUD 90105-a, and has inserted the OMB approval number (2502-0204) and the OMB expiration date (03/31/2014)
The Appendix 4-B, the Section 202 Model Lease, HUD has assigned a form number (form HUD 90105-b, and has inserted the OMB approval number (2502-0204) and the OMB expiration date (03/31/2014)
Please note if the property is a Rural Development property with Section 8 units, the owner/agent must use the appropriate HUD lease and a RD addendum for the Section 8 units.

Please issue the current applicable model lease immediately for all new admissions and beginning with annual recertifications effective January 1, 2009, or sooner. Because this lease is a revision to the lease currently in use, notice must be provided to existing tenants in accordance with HUD Handbook 4350.3 REV-1, paragraph 6-12 D.

Please be advised the HUD approved Michigan model leases (5/08) should no longer be used.

Lease Instructions:
According to HUD Handbook paragraphs 6-12 B.4 - B.7;
4.
A modification to the lease may only be effective at the end of a lease term. The owner must provide the tenant with the approved modifications at least 60 days prior to the end of the lease term.
5.
The notice must include a copy of the revised lease or an addendum revising the existing lease agreement. Owners must include a letter clearly stating that the tenant can either accept the modification or move, but that a response is due within 30 days.
6.
A tenant must either:
 
4 Accept the modification by signing both copies of the modification and returning one to the owner; or

.
4- Refuse the modification and give the owner a 30-day notice of intent to vacate.

7.
If, within 30 days, the tenant indicates that the modification is unacceptable or does not respond, the owner may begin the procedures for terminating tenancy set forth in paragraph 8-13 B of this handbook.
Reminders:
Have the owner/agent and all tenants 18 years of age and older sign and date the lease.
Have all tenants that have fulfilled their initial lease signed the new lease. Please remember to use the subsequent lease term since the initial lease term has already been fulfilled. Refer to HUD Handbook 4350.3 REV-1, Figure 6-3 for lease terms.
These leases cannot be modified. If the owner/agent makes any modifications it must be in a lease addendum; and HUD approval must be obtained prior to its use.
**NOTE: The leases may also need to be conveyed in languages other than English for LEP persons, when applicable, in accordance with HUD guidance, Final Guidance to Federal Financial Assistance Recipients Regarding Title VI Prohibition Against National Origin Discrimination Affecting Limited English Proficient Persons, published in the Federal Register on January 22, 2007**



For questions and answers, please refer to HUD Model Leases Questions and Answers or If you have any additional questions, please feel free to contact our office.