H.R. 206 — Landlord Accountability Act of 2025

This section amends the Fair Housing Act (42 U.S.C. 3601 et seq.) to add "source of income" as a protected characteristic—defined to include Section 8 tenant- or project-based housing vouchers (42 U.S.C. 1437f), other federal, state, or local rental or homeownership subsidies, Social Security or SSI benefits, court-ordered support, payments from trusts or relatives, and other income sources such as savings—prohibiting discrimination in the sale or rental of dwellings, financing, brokerage services, and advertising. It permits housing providers to offer preferences to veterans; extends agency certification grace periods to 40 months (with possible six-month extensions) following enactment; and amends the Civil Rights Act of 1968 (42 U.S.C. 3631) to include source-of-income discrimination in prohibitions against intimidation. The section authorizes appropriations of $90 million annually for FY2026 through FY2035 for the Fair Housing Initiatives Program (42 U.S.C. 3616a); $47 million annually for FY2026 through FY2035 for the Fair Housing Assistance Program; and $3 million annually for FY2026 through FY2028 to the Department of Housing and Urban Development for a national media campaign on fair housing rights.

This section prohibits owners of rental dwelling units from intentionally taking actions—or failing to act—to render units not decent, safe, sanitary, habitable, or otherwise ineligible for HUD housing assistance programs and establishes related penalties. Specifically, it (1) authorizes the HUD Secretary to assess a civil money penalty of $100,000 per violation after notice and hearing and (2) permits affected tenants to sue for $50,000 per violation plus actual damages and costs, including relocation expenses.

This section establishes civil money penalties of $100,000 for each 30-day period that a dwelling unit in a multifamily housing project qualifying for HUD assistance is intentionally left vacant by the owner after a 60-day period, as determined after notice and opportunity for a hearing. For new units, the 60-day period begins when the unit is first habitable as determined by the Secretary; for previously occupied units, it begins upon vacancy by the prior tenant. The section presumes a unit undergoing repairs, updates, renovations, or refurbishment between tenancies is not available for rental during that period unless rebutted by evidence from a prospective tenant that a reasonable time for such work has elapsed.

This section requires the Secretary of Housing and Urban Development (HUD) to increase, within 180 days of enactment, staffing for the Multifamily Housing Complaint Line—operated by the Multifamily Housing Clearinghouse—to handle call volumes without unreasonable waiting periods and authorizes such sums as necessary for each fiscal year. This section establishes a Multifamily Housing Complaint Resolution Program to receive complaints about multifamily housing projects from Housing Choice Voucher holders residing in such projects and local government officials, under which HUD must (1) gather complaint information, (2) determine the likelihood of violations of Housing Choice Voucher program requirements, (3) notify owners or landlords of complaints and violations, and (4) attempt resolution, including mediation, using HUD regional or field offices or qualified local or private organizations. The program is funded from administrative fees under section 8(q) of the U.S. Housing Act of 1937 (42 U.S.C. 1437f(q)), and HUD must issue implementing regulations within 12 months of enactment.

This section requires the Secretary of Housing and Urban Development (HUD) to publicly disclose on a departmental website, on a timely basis, information about each complaint received under the program established pursuant to section 5(b), including (1) the nature of the complaint, (2) the submission date, (3) the disposition as of the time of disclosure, and (4) information identifying the related multifamily housing project. The section further requires HUD to submit annual reports to the House Committee on Financial Services and the Senate Committee on Banking, Housing, and Urban Affairs summarizing such complaints received in the prior year and their dispositions to date.

This section establishes a new general business tax credit (IRC §45AA), equal to an eligible landlord's low-income housing maintenance expenses (i.e., costs for maintenance or improvements), for taxable years beginning after December 31, 2025, and terminating for taxable years beginning after December 31, 2035. The credit is limited to the product of $2,500 and the number of low-income housing units owned; $100,000 and the number of eligible low-income housing projects owned; or $500,000 per taxpayer. An eligible landlord owns one or more eligible low-income housing projects—each with five or more dwelling units, at least one occupied during the year by a family using a Housing Choice Voucher under section 8(o) of the U.S. Housing Act of 1937 (42 U.S.C. §1437f(o))—and either remedies all complaints filed under section 5(b) of the Landlord Accountability Act of 2025 within 30 days or has no such complaints filed; such landlords must also agree to limit project rents to fair market rent levels under section 8(c) of such Act (42 U.S.C. §1437f(c)). (Thus, the credit incentivizes maintenance in multifamily properties serving voucher tenants while enforcing rent caps and prompt complaint resolution.)

This section requires owners of multifamily housing projects eligible for HUD assistance to display, at all times in a clear and conspicuous location on each floor containing dwelling units, a notice describing tenants' rights under federal law, the phone number for the Multifamily Housing Complaint Line, and a phone number for a regional or local HUD office providing information on state and local tenant resources. The notice must be available in English and Spanish, plus any additional languages deemed necessary by the owner. This section authorizes the HUD Secretary to assess a civil money penalty of $500 per day against any owner who fails to make a good faith effort to display the required notice, after notice and opportunity for a hearing; the penalty is waived if the violation is cured within five days of the Secretary's notice. This section directs the Secretary to (1) develop and publish a model notice in the Federal Register within 12 months of enactment and make copies available to owners upon request; (2) apply the display requirements beginning 60 days after Federal Register publication of the model notice; and (3) issue implementing regulations within 180 days of enactment.

This section establishes a grant program administered by the Secretary to states, Indian tribes, units of local government, and nonprofit affordable housing organizations for tenant harassment prevention programs—defined as activities to protect, assist, or educate tenants of rental housing against landlord harassment intended to induce vacatur or surrender of tenant rights (e.g., legal assistance, counseling, education, intervention, complaint processes). Grants are limited to 75% of total costs (including administrative costs), with applications required to describe the program, activities, and projected costs; the Secretary selects grantees based on established criteria. The section authorizes $25 million annually for FY2024 through FY2028.

This section establishes definitions for terms used in the Act, including (1) multifamily housing project, meaning a housing project consisting of five or more dwelling units; (2) rental assistance voucher, meaning a voucher for rental assistance made available under section 8(o) of the United States Housing Act of 1937 (i.e., Housing Choice Voucher Program); (3) Secretary, meaning the Secretary of Housing and Urban Development; and (4) voucher user, meaning a family renting a dwelling unit using a rental assistance voucher.