If you are a landlord participating in the Section 8 Housing Choice Voucher program, the Housing Assistance Payment (HAP) contract is the most important document you will sign. It is the legal agreement between you and the local Housing Authority that makes the entire Section 8 arrangement work — and understanding it fully protects both your income and your property.
What Is a HAP Contract?
A Housing Assistance Payment (HAP) contract is a written agreement between a landlord and a local Housing Authority. Under the contract, the Housing Authority agrees to pay a set monthly amount — the HAP payment — directly to the landlord, on behalf of a Section 8 voucher holder living in your property.
The HAP payment typically covers 70–80% of the unit's approved rent. The tenant pays the remaining portion — called the Tenant Portion — directly to the landlord. Together, these two payments make up the total monthly rent.
What Does a HAP Contract Cover?
A standard HAP contract includes the following key provisions:
- HAP payment amount — The exact dollar amount the Housing Authority will pay each month
- Unit address and description — Specific to the property and unit covered
- Lease term — HAP contracts run concurrent with the tenant's lease (typically 12 months)
- Landlord obligations — You must maintain the property to HQS standards and cooperate with annual inspections
- Housing Authority obligations — The HA must make HAP payments on time and inspect the unit annually
- Termination conditions — Circumstances under which either party can terminate the contract
HAP Contract vs. Tenant Lease — What's the Difference?
Many landlords new to Section 8 confuse the HAP contract with the tenant lease. They are two separate documents signed at the same time.
- The tenant lease — This is between you (the landlord) and the tenant. It covers all standard lease terms: move-in date, rent amount, rules, notice periods, and so on.
- The HAP contract — This is between you and the Housing Authority. It governs the government's payment obligations and your obligations to maintain the property to HUD standards.
Both documents must be signed before the tenant moves in and before you receive your first HAP payment.
How Are HAP Payments Made?
HAP payments are made by the Housing Authority directly to the landlord — not through the tenant. This is one of Section 8's most important features. Even if a tenant loses their job or faces financial difficulties, your HAP payment continues uninterrupted as long as the tenant holds a valid voucher and the property passes HQS standards.
Payment methods vary by Housing Authority, but most Ohio HAs now offer direct bank deposit (ACH), with payments typically arriving in the first 5 business days of each month.
What Happens at Annual Renewal?
HAP contracts automatically renew each year if:
- The property passes its annual HQS inspection
- The tenant still holds a valid Section 8 voucher
- Neither the landlord nor the Housing Authority has terminated the contract
- The tenant wishes to remain in the unit
If you want to increase the rent at renewal, you must submit a rent increase request to the Housing Authority at least 60 days before the lease renewal date. Increases are approved if the new rent falls within the local Fair Market Rent (FMR) schedule published annually by HUD.
Grounds for HAP Contract Termination
A HAP contract can be terminated by either the Housing Authority or the landlord under specific conditions. The most common reasons include:
- Failed HQS inspection — If the property fails inspection and issues are not corrected within the required timeframe
- Tenant moves out — HAP payments stop when the tenant vacates the unit
- Tenant loses voucher eligibility — If the tenant is found ineligible, the HA must end the HAP contract
- Landlord violates contract terms — Failure to maintain the property or cooperate with inspections
- Mutual agreement — Landlord and HA agree to terminate
Frequently Asked Questions
Can I choose my tenant when using a HAP contract?
Yes. Section 8 landlords select their own tenants, just as in a standard rental. The Housing Authority provides voucher holders — you screen them the same way you would any applicant. You cannot discriminate based on source of income (Section 8 status) in most Ohio jurisdictions, but standard screening criteria (credit, criminal history, rental history) apply.
What if the tenant does not pay their portion?
If a tenant fails to pay their portion of the rent, you follow the same eviction process as any other rental — serve the appropriate notice and file with your local court if necessary. The HAP contract does not guarantee the tenant's portion, only the government's portion. This is why tenant screening matters even in Section 8.
Does a HAP contract protect me if I need to evict a tenant?
A HAP contract does not restrict your legal right to evict for cause (non-payment, lease violations, etc.). Standard Ohio eviction procedures apply. After an eviction, the HAP contract terminates once the unit is vacant. You can then list the property for a new Section 8 tenant and execute a new HAP contract.
Can I have multiple HAP contracts across different units?
Yes. Each Section 8 unit requires its own separate HAP contract with the relevant Housing Authority. Many professional Section 8 landlords hold dozens of active HAP contracts simultaneously across multiple properties and counties.