Section 8 Tenant - Should Real Estate Investors Rent to a Section 8 Tenant?



http://www.REIClub.com - Are Section 8 Tenants Good For Rental Property or Just Bad Tenants? This Video Reveals The Pros and Cons of Landlording With Section 8... Pros: Section 8 rental housing generally have... 1. Lower turnover and shorter vacancy periods. 2. Rent Security - Rental payments are subsidized, payments are more likely to be dependable and on time 3. Large available pool of potential renters (the waiting list for new Section 8 tenants is usually very long) 4. Strict renter responsibilities - the HUD/PHA contracts are VERY thorough and protect the landlord Cons: * Full inspection - by HUD's Housing Quality Standards (HQS) and possible remediation's required * fear that a Section 8 tenant or their children will not properly maintain the premises * Rent must be within FMR/FMV- no increasing without approval * Evictions - HUD requires that Section 8 tenants can only be evicted by judicial action, even where state law allows other procedures Qualifying: 1. First step notify PHA that your property is available, and that you would like to rent to tenants with Section 8 vouchers. 2. Advertising - you are willing to rent to Section 8 tenants, 3. Screening - just as you would any other applicant. 4. Inspection- complies with HUD standards. 5. HAP Contract - You will also sign a lease with the family. HUD requires certain information to be mentioned on this document. You can either use one of their leasing forms, available on their website or from your local PHA, or can add an addendum to the leasing form that you typically use. You will then furnish a copy of this lease to the PHA. In summary, renting to Section 8 is a great way to your properties rented out, but be aware of the situation you are getting in to. Do your screenings and the necessary due diligence which your PHA's will assist you with and you should be fine. Again, this is Frank Chen with REIClub.com. Please take the time to leave your comments for this video below and please subscribe to our YouTube channel so you'll be automatically notified when we upload more quick video tips for you. Take care and good investing. http://www.youtube.com/watch?v=q2CRzYiNBJo

Comments

  1. Isn't section 8 lazy and dirty people?
  2. "Should Real Estate Investors Rent to a Section 8 Tenant?"

    absolutely *NOT*. section 8 housing ruins what was once a nice neighborhood....
  3. section 8 cockroaches are the scum of our country!! I live in a beautiful 200k plus homes neighborhood. now there's some section 8 cockroaches! they sit around all day outside smoking, they don't work!! they get free food, reduced utilities, reduced house if not free! they hardly work but receive free shit! they are dirty, entitled minded, rude cockroaches! fuck section 8 scum, I wish our government would drop these lazy fucks on their faces...plus they lay eggs like cockroaches!!
  4. I believe that this is the hugest example of discrimination in America (when 'renters' are said to be " LESS THAN" for circumstances that are OFTEN beyond their control!!! Or undesirable. It is said that there is good and bad in EVERY RACE, and yet, Americans are getting away with "lumping" ALL Section 8 Renters into one "trashy" category!!! I was brought up very well and made a bad decision to marry a man who was not brought up very well, so... because he is evading child support while he drives his big fancy truck around and has matching Harley Davidson for him and his father, guess what, the person that takes very good care of her children(teaching them morals and MONITORING their limited video game usage) and whatever property she lives in/on AUTOMATICALLY GETS DISCRIMINATED AGAINST!!!!!!!!!!!! SO IT'S ONLY THE COLOR OF YOUR SKIN, HUH??? DISCRIMINATION GOES NOOOOO FURTHER?????????!!!!!!!!! WOW, THAT IS ULTIMATE DISCRIMINATION!!!!!!!!!!!!!!!!!!!!!
  5. PHA's don't help with background checks. The best thing from section 8 is that your check will be there every month after all is done and you can get away with charging a higher than usual amount. Houses in the area where I rent mine are usually $1200, but I can get $1600 through section 8.
  6. Great information. Thank you...
    Comment: You speak too fast! lol
  7. Had three homes under HUD. All points made in this video are legitimate. There's a ton of red tape from both the homeowner's part and the tenant's part so the folks complaining about random shit are talking out of their ass. The biggest annoyance is definitely the inspections and the constant calls for petty maintenance like changing a lightbulb. If a door hinge is missing, they'll withhold that rent check until you fix it. And if you have a shitty inspector who wants to make your life a living hell, that fixed door hinge will be denied and they'll say you need to fix the back door hinge. Lmao. Luckily, we've only had this problem with one house/tenant, but all our tenants are decent folks with families to take care of. Other than that, it's not that bad. If we were in a thriving city, we wouldn't need Section 8.
  8. 1. Deport the illegal immigrants.

    Don't want to hear about families being destroyed, they violated, through the CRIMINAL AMERICAN SOCIALIST DEMOCRATS, OUR COUNTRY'S LAWS THAT SERVE TO PROTECT OUR LIVES.
    2. Shut down sanctuary cities.
    3. Halt migration of people from Islamic countries.
    4. Build the walls, beautiful or not, make it effective, destroy all of El Chapo's underground drug lair and the government of Mexico WILL PAY FOR THE CONSTRUCTION OF THE WALLS.
    5. Eliminating taxations and regulations imposed.
    6. Restore the strength of our military forces.
    7. Purging American democrats from out of US government.
    8. Free Trade System unmolested.
    9. Restore the American citizen's choice.
    10. Purge socialist, liberal, communist, Marxist, Islamic influences from out of American educational institutions.
    11. C.A.I.R. and Muslim Brotherhood identified as terrorist organizations that must be purged.
  9. lol @ the high tenant standards. Not saying everyone that's section 8 is bad. Just saying that there is rampant abuse and fraud going on and HUD doesn't care. Property LLCs have bought out half the properties in my neighborhood over the last 5 years. They advertised them as accepting section 8. Many of these homes are occupied by a woman and children for the first week or two and then random men and women (along with their children) start moving in like animals loading into Noah's ark. The yards are waist high and there's trash all over the place. You know when it's inspection time because the yard gets half-assed cleaned up and people load up trucks and move out for a day.
  10. i have section 8 and not all people on section 8 are bad we live in a house for 15 years before landlord wanted to sell and i can tell you i left the house rental ready meaning everything was good and did not need to put money in to the house im now looking for a house and its hard when all people say is bad things i take care of my houses because i want to live in a nice looking house so not everyone on section 8 drink and do drugs i dont drink,smoke, or do drugs my bad habit is soda so stop putting everyone in one group as bad oh and last thing if a renter of section 8 leaves house really bad we can lose section 8 why risk it
  11. Bring back the projects!!! Let them live in it.
  12. yes
  13. We are lonely people as these neighbors of ours they don't want to talk to us much. Most of them are Black folks. You can tell they drink and do drugs. You can tell someone is high when you try to talk to them and they are talking to their friends and pretty much ignoring you. I'm not going to try to talk to any of these people anymore. They act like they are better and they are poor on welfare - give me a break.
  14. Well there are some low income people whom do not fit into the usual stigma/categorie of most low income people - take me and my son for instance we 1) know what a kneexex is 2) have manners 3) good personal hygiene including dental 4) a good brain on our shoulders 5) do not take street drugs ever 6) do not drink with the exception I might have 1 beer on occasion (once per month) 7) do not smoke and I'm not saying we are perfect or anything but we are good, trust worthy people. Plus we do our utmost to keep our apt clean and undamaged. And we have a Sec 8 voucher and needing to secure a 2 bedroom place soon. We are frightened and getting that homeless feeling - please can anyone help us find a place?
  15. Help, help, help to secure an apt to rent Sept 1. I seek a place in a small town that is on a bus route or light rail route to a bigger city. So any landlords property managers have a 2 bedroom Sec 8 voucher accepted apartment rental (it will be for 2 adults) who would waive the application fee and/or not charge an application fee plus I got 1 eviction on my record of almost 2 years ago - a wrongful eviction I'd like to add. My son and I are good tenants and we will respect your property and do our utmost best to keep it clean and undamaged. I can show you photos of how clean I keep my apt I live in now. We are good law abiding people whom don't drink or smoke.
  16. Cam proptery management help with section 8?
  17. Question - I have a property I'd like to rent out to someone I know (and trust) who is on Section 8.  This is a single family property that has never been a rental before.  The property would have no issues with inspections, as it has been extensively remodeled and I mean completely gutted electric, plumbing, roof, siding, HVAC and even granite countertops and stainless appliances remodel, so this is not just a lipstick on a pig rental remodel.

    My question is, can I simply offer to rent the property to them and then try to get it approved through Section 8?  FYI, the house is currently not even listed for rent, to anyone.  That said, the reason I ask is because I can't find any answers on the internet and I hear about the "waiting lists" for Section 8 housing, so I don't want to be told I have to consider someone who may be on that list.  If that were the case and I had to consider other Section 8 renters,  I'd just rent it on the open market, meaning I would not consider Section 8 renters.

    This person would likely be there for many years and I trust them and know them; they are a neat freak, which is important given the renovations I put into this property which I had planned on living in, myself.  This would likely be the only Section 8 person I would ever rent to and I would not plan on renting it out to future Section 8 renters, as I'd probably sell it at some point, if the proposed renter moved out.
  18. Well right now it seems as if all Realtors are Terrified of people with Section 8. Everyone that clears for Section 8 is not on Drugs or a problem.
  19. I've decided to no longer rent to Section 8 tenants. The level of support we get from Section 8 advisors is nil. You can't evict S8 no matter what they've done without incurring a huge expense because their income is so low that the qualify for free legal representation under the Shriver Act. The tenants' rights attorneys always call for a jury trial (subsidized by the federal government). The owner is then between a rock and a hard place. Either they have to pay the tenant to relocate or proceed with the jury trial at great expense. Of the five S8 tenants I have left, one is excellent, no problem whatsoever after seven years. One is OK, never complains about anything, but she often won't answer her door, doesn't answer her phone and hasn't set up her voicemail. Another one is a drama queen, very volatile, always tattles on the other tenant's crackhead friends but won't ever call the police. When I increase the rent every year, even though S8 picks up the increase, he curses and threatens me. He's also changed the locks without permission. His next door neighbor is in her nineties and shouldn't be living alone. The place reeks of urine. The homeless in the area come in and out at all hours of the night around the first of the month. The local drug dealer has convinced her she is his girlfriend. She always has an unauthorized tenant living there. She has also brought bedbugs and roaches into the unit and won't cooperate with my licensed exterminating company. I've reported her to the S8 fraud division many times but they are very ineffective in their investigative procedures. My fifth tenant is OK, but she has screamed at my tradespeople when they come to do repairs, possible paranoia. Sometimes she will go off on me too but she usually apologizes later. She has a very sullen, unpleasant college age daughter. If you want to deal with problems like these, yes, take S8.
  20. Section 8 or not, but especially with Section 8, stay on top of those walkthroughs. Collect rent in person every other month or so (give legally required notice), and walk the entire property. Check the closets, cabinets, and attics. Post written notice to correct of anything that can't be considered normal wear and other violations.


Additional Information:

Visibility: 39154

Duration: 4m 51s

Rating: 309