The DoD is increasing BAH rates in certain MHAs because of unusually large spikes in median rental housing costs in some areas (an average of more than 20 percent), which has made it especially challenging for Service members and their families in the affected MHAs to find affordable housing in the vicinity of their duty stations.

Download the complete list of housing areas with increased BAH rates [PDF, 2 pages], or select the "2022 Increased Rates (Effective 10/01/2022)" option on the BAH calculator on the Defense Travel Management Office website.

No. The 2022 BAH increases are automatic. Service members do not have to apply for the increased BAH rates, nor are they required to certify they have incurred higher housing costs.

The BAH rate increases are effective as of October 1, 2022 and will continue through December 31, 2022. 2023 BAH rates will replace these automatically increased rates on January 1, 2023.

No. Although, normal BAH rate protection—which protects members from decreases in housing market costs—does not apply to these automatic rate increases, DoD is making every effort to ensure these rates remain as stable as possible and will not vary considerably from the 2023 BAH rates.

Service members who are receiving BAH based on one of the affected 28 MHAs will receive the increase automatically. A member who is eligible for the higher BAH rate will remain eligible through December 31, 2022, unless a BAH status change occurs (e.g., promotion, demotion, dependency change) or the member has a permanent change of station (PCS) to a new permanent duty station (PDS).

Yes, Service members in the affected MHAs living in PPV housing will receive the temporary increase in BAH. Per PPV lease agreements, when Service member BAH equals the rent for the home, Service members are required to report BAH increase to their PPV landlord. Service members' rent will increase to the new BAH amount.

Under current lease terms BAH equals rent and any increase or decrease in BAH is applicable.

Awaiting confirmation from NAVFAC lawyers.

Service members pay rent in the community housing based on their individual lease agreements at local market rental rates. Community housing on average have experienced a 20 percent spike in rental costs this year, putting a hardship on Service members living the community and pocketing of BAH is unlikely.

BAH rates are designed so that Service Members living in the community absorb 5% of rental and utility costs. PPV partner absorbed that 5% cost and have absorbed additional increased utility and maintenance costs over that last year.

Not reporting an increase in your BAH is a violation of your lease agreement and you will be required to pay the PPV partner all back BAH increase amounts.

Your current lease terms will specify both your rental rate and how increases in BAH effect that rate. If you live in a flat rent neighborhood, your rent may increase when your lease comes up for renewal similar to when you rent in the community.

Civilians pay rent based on their lease agreements which is based on the local market rates for rental housing.

Yes; under current lease terms, Sailors in UH PPV will be responsible to pay increased rent equal to your new BAH amount.

No. Your eligibility for your automatic BAH increase ends on the date you are no longer authorized BAH for that location. However, if your new duty is in another affected MHA, you would be eligible for the increased BAH rate at the new PDS.

A member reporting to a new PDS in one of the affected MHAs during October -December (the period when increased rates are in effect) will receive the automatically increased BAH rate.

The automatic BAH rate increases apply only to Service members who receive BAH based on one of the 28 affected MHAs in the United States. It does not apply to the Overseas Housing Allowance. However, if you are stationed overseas, but receive BAH based on the location of your dependents who reside in one of the affected MHAs or receive BAH based on your former duty station that is in one of the affected MHAs, you are eligible for the increased BAH rate.

Rental housing market data collected by DoD from March - August 2022 indicates rental housing costs in the 28 MHAs increased more than 20 percent over 2022 BAH rates. Other areas may have experienced overall rental cost increases as well, but not to the same degree as the 28 affected MHAs. To help ease the financial burden of rising housing costs facing Service members moving to new duty stations or signing new leases, the DoD moved quickly to assess market changes across the country, determine which markets are most affected, and implement an automatic change in BAH rates in those areas.

There is no process for an installation to request reconsideration of the BAH increase. The DoD is currently in the process of setting 2023 BAH rates for all MHAs, which will be effective January 1, 2023.

The DoD relied upon verified, quality-controlled rental housing cost data collected in over 300 MHAs across the country during the period March - August 2022 (when housing markets are most active) to make its decisions about whether automatic increases were needed and where to apply them. Data was collected in every MHA for each of six housing types (1 and 2-bedroom apartments; 2 and 3-bedroom townhomes; and, 3 and 4-bedroom single family homes). For each housing type. the DoD used total housing cost data (median rent and average utilities) to calculate the average rate of increase across the medians of all six housing types to determine whether an MHA should be considered for a temporary BAH increase. The rental cost data was collected as part of the DoD's annual process used to set BAH rates each January. Refer to the BAH Primer [PDF, 12 pages], for additional detail on the BAH data collection and rate-setting processes.

Depending on your state your BAH may be considered as income when determining if you qualify for social programs or for the cost of child support. Please contact your local legal office or FFR for more information and support.