HR206-119

What This Bill Does

The Landlord Accountability Act of 2025 amends the Fair Housing Act to add 'source of income' as a new protected class, making it illegal for landlords to discriminate against tenants who pay rent using Section 8 housing vouchers, Social Security benefits, child support, or any other form of government or nongovernment financial assistance. The bill also creates new penalties for landlords who intentionally let units deteriorate to disqualify them from federal housing programs or who leave qualifying units vacant for more than 60 days. It establishes a complaint resolution program at HUD, requires public disclosure of landlord complaints, creates a tax credit for landlords who maintain voucher-eligible housing, mandates posting of tenants' rights notices in multifamily buildings, and authorizes grants for tenant harassment prevention programs.

Who Benefits and How

• Housing voucher holders and low-income tenants benefit most directly: landlords can no longer legally refuse them based on their source of income. Tenants in multifamily housing gain new complaint channels, rights displays, and protections against harassment and intentional property degradation.
• Tenants receiving Social Security, SSI, child support, or trust payments gain explicit protection -- landlords cannot discriminate based on any of these income sources.
• Fair housing advocacy organizations receive up to $90M/year in new funding through the Fair Housing Initiatives Program and $47M/year through the Fair Housing Assistance Program.
• Landlords who maintain voucher housing in good condition can claim a tax credit of up to $2,500 per unit ($100K per building, $500K per taxpayer) for maintenance expenses, effective for tax years 2026-2035.
• Nonprofit affordable housing organizations and local governments become eligible for $25M/year in tenant harassment prevention grants.
• Veterans are explicitly protected: the bill preserves the right to offer housing preferences based on veteran status.

Who Bears the Burden and How

• Landlords and property owners bear the heaviest burden: they lose the ability to screen tenants by income source, face $100K civil penalties for intentionally degrading units or leaving them vacant, face $500/day penalties for failing to post tenant rights notices, and must comply with new complaint resolution processes.
• HUD must establish and staff a complaint resolution program, increase the Multifamily Housing Complaint Line staffing within 180 days, publicly disclose complaint data, develop model tenant rights notices, and issue implementing regulations.
• State and local fair housing agencies must update their certifications within 40 months to cover source-of-income discrimination.
• Federal taxpayers bear the cost of authorized appropriations: $90M/year for FHIP, $47M/year for FHAP, $3M/year for a media campaign, and $25M/year for harassment prevention grants, plus foregone tax revenue from the new maintenance tax credit.

Key Provisions

• Adds 'source of income' as a protected class under the Fair Housing Act, covering Section 8 vouchers, Social Security, SSI, child support, trust payments, and all other income sources
• Creates $100,000 civil penalties for landlords who intentionally degrade units to disqualify them from federal housing programs, plus $50,000 per violation payable to affected tenants
• Creates $100,000 penalties per 30-day period for intentionally leaving qualifying vacant units empty beyond 60 days
• Establishes a HUD Multifamily Housing Complaint Resolution Program with public disclosure of complaints
• Creates a new Section 45AA tax credit for low-income housing maintenance expenses (up to $2,500/unit, $100K/building, $500K/taxpayer) for 2026-2035
• Requires tenant rights notices posted in English and Spanish on every floor of qualifying multifamily buildings
• Authorizes $25M/year for tenant harassment prevention grants
• Authorizes $90M/year for FHIP, $47M/year for FHAP, and $3M/year for a national media campaign on expanded fair housing rights