Sept 1 -- The Office of the Assistant Secretary for Policy Development and Research, Department of Housing and Urban Development, HUD publishes a Notice of Fiscal Year (FY) 2023 Fair Market Rents (FMRs), describes changes to FMR calculation methodology for FY2023, summarizes public comments on methodological changes and its response, and invites additional public comments on methodology by October 3, 2022.
The United States Housing Act of 1937 (USHA), as amended by the Housing Opportunities Through Modernization Act of 2016 (HOTMA), requires the Secretary to publish FMRs not less than annually, adjusted to be effective on October 1 of each year. This notice announces the availability of FY 2023 FMRs, describes the methods used to calculate the FY 2023 FMRs, responds to comments submitted on the notice of Proposed Changes to the Methodology Used for Calculating Fair Market Rents, and enumerates the procedures for Public Housing Agencies (PHAs) and other interested parties to request reevaluations of their FMRs as required by HOTMA.
HUD invites public comments on the methods HUD uses to calculate FY 2023 FMRs by October 3, 2022. HUD also accepts requests for reevaluation of FMRs for specific areas up to that date.
On July 13, 2022, HUD published a notice of Proposed Changes to the Methodology Used for Calculating Fair Market Rents. https://www.federalregister.gov/d/2022-14913
For FY 2023 FMRs, HUD is implementing the two proposed changes described in that notice. The first affects how HUD determines the “recent mover adjustment factor” to meet its regulatory objective of setting the FMR from the distribution of rental units occupied by recent movers. The second change affects how HUD inflates the recent mover rent to the most recent full calendar year using a Gross Rent Inflation Adjustment Factor. The methodology used in each of these steps is described in more detail in the following section and will apply only to FY 2023 FMRs.
HUD is issuing this notice to notify the public that FY 2023 FMRs are available at https://www.huduser.gov/portal/datasets/fmr.html
and will become effective on October 1, 2022. For complete information on how HUD derives each area's FMRs, see the online documentation at https://www.huduser.gov/portal/datasets/fmr.html#2023_query
FRN sections discuss FMR Methodology, Small Area FMRs, Response to Comments on Proposed Changes to FMR Calculation.
Press release: https://www.hud.gov/press/press_releases_media_advisories/hud_no_22_161