Housing rentals and tenant admissions

1. A municipality shall do the following: a. Rent or lease the dwelling accommodations in a housing project only to persons or families of low income and at rentals within their financial reach. b. Rent or lease to a tenant such dwelling accommodations consisting of the number of rooms which it deems necessary to provide safe and sanitary accommodations to the proposed occupants without overcrowding. c. 1. Fix income limits for occupancy and rents after taking into consideration the following: a. The family size, composition, age, disabilities, and other factors which might affect the rent-paying ability of the person or family. b. The economic factors which affect the financial stability and solvency of the project. 2. However, such determination of eligibility shall be within the limits of the income limits hereinbefore set out. 2. Nothing contained in this section or section 403A.6 shall be construed as limiting the power of a municipality with respect to a housing project, to vest in an obligee the right, in the event of a default by the municipality, to take possession or cause the appointment of a receiver for the housing project, free from all the restrictions imposed by this section or section 403A.6.