Housing Counselor Certification (HUD) Practice Exam

What advice should a housing counselor give to a client currently renting month to month to better secure their housing?

1. Seek a new written lease agreement

2. Move to a fixed-term lease

3. Start saving for a down payment

4. Look for a new rental property

The correct answer is: Seek a new written lease agreement

The optimal advice for a client currently renting month to month is to seek a new written lease agreement. This approach enhances security for several reasons. A written lease creates a documented understanding between the landlord and tenant, outlining both parties' rights and responsibilities. It ensures that the terms of the tenancy, such as rent amount, duration, and rules regarding termination, are clearly defined, which helps prevent misunderstandings and disputes. By transitioning from a month-to-month agreement to a formal written lease, the client effectively increases their stability and predictability in housing. Without a written lease, the landlord can terminate the rental agreement with little notice, leaving the tenant vulnerable to sudden moves. A written lease typically provides greater security against such abrupt changes, allowing tenants to remain in their homes for a specified period. Other options, while beneficial in certain contexts, do not directly address the immediate need for housing security. Moving to a fixed-term lease is somewhat redundant since both a written lease and a fixed-term lease provide similar benefits concerning stability. Starting to save for a down payment is a long-term financial strategy that may not help the client avoid immediate housing insecurity. Looking for a new rental property might introduce additional complications, such as increased costs or the stress of relocation, without resolving the current