HUD's FY25 AFR identified potential payment errors totaling more than $5 billion.

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Evidence from credible sources supports the statement as accurate. Learn more in Methodology.

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oversight

The AFR document quantifies and supports the assertion of more than $5 billion in potential improper/payment errors.

Source summary
HUD released its FY25 Agency Financial Report to Congress and said advanced data analytics uncovered more than $5 billion in potential improper payments in Tenant-Based and Project-Based Rental Assistance during 2024. The department disclosed a material weakness, identified process gaps, and said it will implement new financial controls and track how Public Housing Authorities and grantees spend HUD funds. Secretary Scott Turner pledged investigations and accountability and framed the findings as failures of the prior administration's controls.
Latest fact check

The claim asserts that HUD’s Fiscal Year 2025 Agency Financial Report (AFR) identified potential payment errors totaling more than $5 billion. This refers to HUD’s analysis of 2024 rental-assistance payments, as summarized in a December 30, 2025 press release and the FY25 AFR transmitted to Congress.

HUD’s own official news release on the FY25 AFR explicitly states that the report “detailed significant misuse of taxpayer funds under the Biden administration including potential payment errors totaling more than $5 billion.” The release further notes that HUD’s Office of the Chief Financial Officer used advanced data analytics to examine all Tenant-Based Rental Assistance (TBRA) and Project-Based Rental Assistance (PBRA) payments made in 2024, and that this process uncovered “significant potential improper payments, process gaps, and material weaknesses.”

The AFR itself, published on HUD’s website as the “Fiscal Year 2025 Agency Financial Report,” is cited in subsequent coverage as the underlying document for the $5+ billion figure. Multiple outlets summarizing the AFR’s findings describe approximately $5.8 billion in potentially improper or questionable rental-assistance payments in FY 2024, consistent with the “more than $5 billion” language used by HUD.

While media narratives around the AFR are politically charged, there is no credible dispute that HUD’s FY25 AFR, as characterized by HUD’s own official press release and corroborating reports, identified potential payment errors above the $5 billion threshold. The exact figure (e.g., around $5.8 billion) falls within the “more than $5 billion” description.

Given that the AFR has been formally released, is publicly accessible on HUD’s website, and that HUD itself frames its findings in terms of potential payment errors exceeding $5 billion, the factual content of the claim is satisfied. The remaining debates in coverage concern interpretation (fraud vs. administrative error) and accountability, not whether the AFR contained this quantified estimate.

Accordingly, based on HUD’s official documentation and consistent external reporting, the claim that HUD’s FY25 AFR identified potential payment errors totaling more than $5 billion is accurate and complete.

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Timeline

  1. Update · Jan 16, 2026, 10:51 AMcomplete
    The claim asserts that HUD’s Fiscal Year 2025 Agency Financial Report (AFR) identified potential payment errors totaling more than $5 billion. This refers to HUD’s analysis of 2024 rental-assistance payments, as summarized in a December 30, 2025 press release and the FY25 AFR transmitted to Congress. HUD’s own official news release on the FY25 AFR explicitly states that the report “detailed significant misuse of taxpayer funds under the Biden administration including potential payment errors totaling more than $5 billion.” The release further notes that HUD’s Office of the Chief Financial Officer used advanced data analytics to examine all Tenant-Based Rental Assistance (TBRA) and Project-Based Rental Assistance (PBRA) payments made in 2024, and that this process uncovered “significant potential improper payments, process gaps, and material weaknesses.” The AFR itself, published on HUD’s website as the “Fiscal Year 2025 Agency Financial Report,” is cited in subsequent coverage as the underlying document for the $5+ billion figure. Multiple outlets summarizing the AFR’s findings describe approximately $5.8 billion in potentially improper or questionable rental-assistance payments in FY 2024, consistent with the “more than $5 billion” language used by HUD. While media narratives around the AFR are politically charged, there is no credible dispute that HUD’s FY25 AFR, as characterized by HUD’s own official press release and corroborating reports, identified potential payment errors above the $5 billion threshold. The exact figure (e.g., around $5.8 billion) falls within the “more than $5 billion” description. Given that the AFR has been formally released, is publicly accessible on HUD’s website, and that HUD itself frames its findings in terms of potential payment errors exceeding $5 billion, the factual content of the claim is satisfied. The remaining debates in coverage concern interpretation (fraud vs. administrative error) and accountability, not whether the AFR contained this quantified estimate. Accordingly, based on HUD’s official documentation and consistent external reporting, the claim that HUD’s FY25 AFR identified potential payment errors totaling more than $5 billion is accurate and complete.
  2. Scheduled follow-up · Jan 15, 2026
  3. Completion due · Jan 15, 2026
  4. Update · Jan 01, 2026, 12:41 PMTech Error
    Sources critical to verify the detailed payment-error figures in HUD’s FY25 Agency Financial Report (AFR) are embedded in a large PDF whose text is not reliably extractable with the current tooling. Because I cannot reliably parse the numerical tables in the AFR itself, I can’t independently confirm the exact dollar amount of “potential payment errors” reported for FY24 within the FY25 AFR. Verdict: Tech Error. The necessary primary source (HUD’s FY25 AFR PDF) could not be reliably processed to confirm the specific $5+ billion figure, so this claim cannot be fully verified at this time.
  5. Original article · Dec 30, 2025

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