To meet the needs of Americans seeking financial assistance for housing, the Section 8 housing programs began to categorize as the demand for Section 8 housing programs grew. Today, there are two types of Section 8 Housing Vouchers - project-based vouchers and tenant-based vouchers.
Project-based vouchers are vouchers whose use is restricted to specifically designated apartment complexes. There could be a number of apartment complexes in an area designated solely for public housing use. Public Housing Authorities are only allowed to reserve up to 20% of their vouchers as project-based. There is a much greater need for tenant-based vouchers.
Tenant-based vouchers allow Section 8 housing tenants (the individual or family receiving assistance) to choose a privately run apartment, with no restrictions on which building or complex they can live in. Tenant-based vouchers are also theoretically usable anywhere in the United States or Puerto Rico with a public housing authority that operates a Section 8 housing program.
** However, due to the limited number of Section 8 vouchers, this tenant-based portability is usually very limited.