HUD Publishes 2026 Annual Adjustment Factors; OCAF Delayed
(Dec. 16, 2025) As reported by LeadingAge, on Dec. 9th, the U.S. Department of Housing and Urban Development (HUD) announced the Annual Adjustment Factors (AAFs) for 2026, which adjust rents for certain Section 8 Housing Assistance Payment (HAP) programs for the current fiscal year.
The 2026 AAFs are effective as of Dec. 9, 2025 and are applied at the anniversary of certain HAP contracts. HUD establishes the rent adjustment factors on the basis of Consumer Price Index (CPI) data relating to changes in residential rent and utility costs. The amount that an owner is required to deposit to the Reserve for Replacement account is also adjusted annually by the most recently published AAF, at the HAP contract anniversary.
The AAFs are distinct from, and do not apply to the same properties as, Operating Cost Adjustment Factors (OCAFs), which are used by many project-based Section 8 and Section 202/8 properties. HUD’s OCAF Notice is still forthcoming for 2026; HUD told LeadingAge in early December that the OCAF Notice for 2026 was delayed due to the government shutdown in October and November.
Housing providers are also still waiting for HUD to release the Utility Allowance Factors for 2026 in order to complete budget adjustment requests for early in the new calendar year.
More information on the 2026 AAFs is available here.
Contact: Annalyse Komoroske Denio, akomoroskedenio@leadingageny.org, 518-867-8866