Source-of-Income Protection in Los Angeles: Why \"No Section 8\" Is Illegal

If you have looked for an apartment in Los Angeles while holding a Section 8 Housing Choice Voucher, an emergency rental subsidy, or another form of housing assistance, you have probably seen the words "No Section 8" in a listing or heard them over the phone. In California, that phrase is not a landlord preference. It is a violation of state law. Two statutes, SB 329 and SB 267, together make it illegal to refuse a tenant because of their lawful source of income and restrict how landlords may use income screening against voucher holders. This guide explains what those protections cover, why blanket voucher rejections are unlawful, how the income test is supposed to work on only your portion of the rent, and how to document your income with bank records when your credit file is thin or missing.

This article is educational information, not legal advice. If you believe your rights have been violated, consider contacting a legal aid organization or the enforcement agencies listed at the end.

What "source of income" means under California law

California's Fair Employment and Housing Act prohibits housing discrimination based on a list of protected characteristics found in Government Code section 12955. In 2019, the Legislature passed SB 329, which amended the definition of "source of income" so that it now expressly includes federal, state, and local housing subsidies, including Section 8 Housing Choice Vouchers, paid to a housing owner or landlord on behalf of a tenant.

Before SB 329 took effect on January 1, 2020, some landlords argued that because a voucher is paid to the landlord rather than directly to the tenant, it was not the tenant's "income" and could be refused. SB 329 closed that gap. Under current law, a housing subsidy is treated as part of your lawful, verifiable income regardless of whether the money passes through your hands or goes straight to the landlord. Protected sources of income include:

• Section 8 Housing Choice Vouchers and project-based vouchers
• VASH vouchers for veterans and other veteran housing assistance
• Emergency Housing Vouchers and homelessness-prevention subsidies
• State and local rental assistance and shallow-subsidy programs
• Social Security, SSI, SSDI, disability benefits, pensions, child support, and other lawful, verifiable income

Because these are protected sources of income, a landlord in Los Angeles generally may not advertise, state, or apply a policy that excludes applicants who rely on them.

Why "No Section 8" advertising and refusals are illegal

Once a housing subsidy counts as a protected source of income, refusing to rent to someone because they hold a voucher becomes source-of-income discrimination. That means a landlord in Los Angeles generally cannot:

• Publish or post a listing that says "No Section 8," "No vouchers," or "No programs"
• Tell an applicant over the phone or in person that vouchers are not accepted
• Refuse to accept, complete, or return the paperwork a housing authority requires to process a voucher
• Impose different terms, higher deposits, or extra fees on voucher holders
• Steer voucher holders to certain units or buildings and away from others

The advertising piece matters on its own. A "No Section 8" line in a listing can be a violation even before anyone applies, because publishing a discriminatory preference is itself prohibited. If you took a screenshot of a listing that said "No Section 8," or you have a text message or voicemail in which a landlord or agent said vouchers are not accepted, keep it. That kind of contemporaneous evidence is often what makes a complaint provable.

A landlord may still screen applicants for legitimate, non-discriminatory reasons, and may verify that the tenant can actually meet their obligations under the lease. What the law forbids is using the voucher itself, or the applicant's reliance on any lawful source of income, as the reason for the denial.

How the income test works: your portion only

One of the most common ways voucher holders are unlawfully screened out is through inflated income requirements. Many landlords apply a rule of thumb requiring that an applicant earn two or three times the monthly rent. Applied to the full contract rent, that standard would disqualify almost every voucher holder, which is exactly why the law treats it differently.

SB 267, effective January 1, 2020 and codified in Government Code section 12955, addresses this directly. When an applicant's source of income includes a rental subsidy, a landlord who uses a minimum income standard, a financial or credit history requirement, or a similar screening tool must apply that standard only to the portion of the rent the tenant would actually pay — not to the entire rent amount.

A simple example shows why this is decisive. Suppose the total rent on a Los Angeles apartment is $2,400 a month, and your Housing Choice Voucher covers $1,900, leaving you responsible for $500. A landlord who wants to see income equal to three times the rent may only apply that multiplier to your $500 share. That means the relevant figure is roughly $1,500 in monthly income, not three times $2,400. The subsidy that the housing authority pays is guaranteed and does not need to be "earned" again through your paycheck. Screening you against the full rent, as if the voucher did not exist, defeats the purpose of the program and runs contrary to SB 267.

If a leasing agent tells you that you "don't make enough" for a unit while you hold a voucher, ask specifically whether they are applying their income multiple to the whole rent or only to your tenant portion. Applying it to the whole rent is the error the statute was written to prevent.

Credit and financial-history screening under SB 267

SB 267 is not limited to income multipliers. It reaches any "financial or credit history" requirement a landlord uses. Because the statute allows an applicant to offer lawful, verifiable alternative evidence of the ability to pay, a thin credit file or a low score does not have to be the end of your application.

Voucher holders and low-income tenants often have limited credit histories through no fault of their own. Some have never carried a credit card. Immigrants and newcomers may have little or no domestic credit record. Others have been paying rent reliably for years, but their on-time payments were never reported to a credit bureau. SB 267 recognizes this reality by permitting alternative documentation to stand in for, or supplement, a traditional credit check. This is especially useful when combined with the point above: if your tenant portion is small and stable, the financial risk to the landlord is limited, and your alternative evidence should reflect that.

Using bank records when your credit is thin

Under SB 267, if you have a rental subsidy, you may provide lawful, verifiable evidence other than a credit report to show you can meet your share of the rent. Bank records are one of the strongest forms of this evidence because they show real money moving in and out of your account over time. Documents you can gather include:

• Bank statements showing regular deposits and a consistent balance, typically covering the last few months
• A record of on-time rent payments to your current or prior landlord, such as canceled checks, bank transfers, or a payment ledger
• Benefit award letters for Social Security, SSI, SSDI, or disability, which document guaranteed monthly income
• Your voucher documentation from the housing authority confirming the subsidy amount and that your portion is what remains
• Pay stubs, an employer letter, or tax returns if you also have earned income

When you submit alternative evidence, present it as a clear package: a short cover note stating your monthly tenant portion, the subsidy amount, and a summary of the attached documents. A landlord who accepts credit checks from other applicants but refuses to look at your lawful alternative evidence may be applying the screening standard in a way SB 267 does not permit. For more on building a strong file, see our guide on proving income with bank records, and be wary of any listing promising "no credit check" that turns out to be a scam.

What to do if a landlord rejects your voucher

If you encounter a "No Section 8" listing or a landlord who refuses your voucher, documentation is your most valuable tool. Take these steps:

• Preserve the evidence. Screenshot the listing, save texts and emails, and write down the date, time, and name of anyone who told you vouchers are not accepted.
• Ask for the reason in writing. A written denial that references your voucher or income source is powerful evidence.
• Note the income math. If you were told you don't earn enough, record whether they applied their income standard to the full rent or only your portion.
• File a complaint. You can file with the California Civil Rights Department, the state agency that enforces the Fair Employment and Housing Act, at calcivilrights.ca.gov/housing. Los Angeles County residents can also contact the Department of Consumer and Business Affairs at dcba.lacounty.gov.
• Get advice. Legal aid organizations serving Los Angeles can review your situation and, in many cases, help at no cost.

You may also want to understand your broader rights as a tenant. Our overview of tenant rights in Los Angeles covers related protections, and our guide to immigrant tenant protections explains rights that apply regardless of immigration status.

Frequently asked questions

Is it really illegal for a Los Angeles landlord to say "No Section 8"?

Yes. Since SB 329 took effect on January 1, 2020, a Section 8 voucher is a protected "source of income" under Government Code section 12955. Refusing to rent because of a voucher, or advertising that vouchers are not accepted, is generally source-of-income discrimination under California's Fair Employment and Housing Act.

Can a landlord still require that I earn a certain amount of income?

A landlord may use an income standard, but under SB 267 they must apply it only to the portion of the rent you would actually pay, not to the full contract rent. So if your voucher covers most of the rent and you pay a small share, your required income is measured against that small share, not the whole amount.

My credit is thin because I've never had a credit card. Can I still qualify?

Often, yes. SB 267 lets applicants with a rental subsidy offer lawful, verifiable alternative evidence of their ability to pay instead of relying solely on a credit report. Bank statements, a record of on-time rent payments, and benefit award letters are all commonly accepted forms of alternative evidence.

What documents best prove I can pay my share of the rent?

Bank statements showing steady deposits and balances, a history of on-time rent payments, benefit award letters for Social Security or disability, and your voucher paperwork confirming the subsidy amount are all strong. Package them together with a short summary of your monthly tenant portion so a landlord can review them quickly.

Where do I report a landlord who refuses my voucher?

You can file a housing discrimination complaint with the California Civil Rights Department at calcivilrights.ca.gov/housing. Los Angeles County residents can also reach out to the Department of Consumer and Business Affairs at dcba.lacounty.gov. Preserve any listings, texts, or emails that show the refusal before you file.