On behalf of Virginia REALTORS®, please accept these comments in support of the proposed guidance document on source of funds. This guidance provides important clarification on how this law will work in the day-to-day business of residential real estate and property management with respect to income qualifications and inspections. Clarification allows for easier compliance with the law and continuity of business practices. However, we believe more clarification is needed as to a landlord’s consideration of duration of funds. The guidance document as written states that the duration of funds cannot be taken into account when qualifying a prospective tenant. There is a distinct difference between looking at the source of someone’s income (i.e. employment, HCV, grant, unemployment) and, if applicable, the duration of that funding source. For example, if a landlord was to receive applications from two prospective tenants for a twelve-month lease term, both employed, but where one tenant has documentation that her employment is temporary and will end three months into the lease, it would be unfair to not let the landlord take that fact into account.  We believe that if a landlord is presented with information from a prospective tenant that indicates their income will cease on a specific date prior to the end of the proposed lease term, a landlord should be able to take that into consideration when choosing a tenant.  We appreciate the Board’s consideration of our concern and hope additional clarification on this important issue will be included in the final document.  Please feel free to contact us with any questions.

Erin Barton

Deputy Legislative Counsel

Virginia REALTORS®

(804)-398-8694