Affordable housing is intended for households that do not earn enough to afford the housing at its full market price or rent. As a consequence, there are some basic controls used to ensure that it does not go households that could afford the full-market housing.
Most importantly, these programs typically set maximum income limits for the buyers and renters of the units. These limits are adjusted for the size of the household.
Also, there must be a match between the size of the household and the size of the unit. Large households are not allowed to squeeze into small units, nor small households take advantage of large units.
With affordable ownership units, other eligibility criteria are sometimes used. For example, purchase might be limited to first-time buyers, or to households who have not owned a home for a number of years. Limits might be also placed on the assets of the purchasers.
Where there is a big demand for these units (as there generally is), the potential occupants are typically selected from the pool of eligible candidates either through a lottery or on a “first-come/first-served” basis.
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