The Pro’s of Renting to Section 8 Voucher Tenants

By
Real Estate Services with Bluewater Property Management, LLC and Lowcountry Turnkey Properties, LLC
So far, we have looked at:
How to Have Your Rental Property Section 8 Approved
Renting to Section 8 Voucher Tenants
The Con’s of Renting to Section 8 Voucher Tenants

There are several Pro’s of Renting to Section 8 Voucher Tenants. As I mentioned earlier in the article series, I avoided Section 8 housing when I first became a Real Estate Investor. I did not like that stigma associated with it. I have since learned the Section 8 Program is an excellent tool to fill a vacancy.

I do not focus on Section 8 houses; however, the ability to rent to Section 8 Voucher Tenants has opened a few of my rental properties to a new tenant pool and improves my ability to fill my vacant properties.

Guaranteed Payment
First and foremost, the Housing Choice Voucher Program payments are guaranteed each month as long as you, the landlord, and the tenant remain in good standing with and qualify for the Section 8 Program. Yes, both of you have requirements that are to be met on a continuous basis.

To name a few: you, as the landlord, must properly maintain the home when repairs are necessary, and the tenant must maintain their financial obligations, if any, on the home. Both of the requirements ultimately benefit you. There are a few more specifics, so check with your local Section 8 authority.

Tenant Readiness Program
My local Section 8 authority has a Tenant Readiness Program, and it is mandatory for all Section 8 Voucher applicants to be considered for the Section 8 Program. The Tenant Readiness Program is “intended to prepare and give assisted housing families the tools and skill that will help them in becoming more responsible tenants and neighbors in their communities.” That quote is straight from my local Section 8 authority handout.

How great is that? Although the Section 8 Program does not qualify the applicants based on rental criteria, the Program does attempt to make them better tenants. Sounds great to me!!

Landlord Outreach Seminars
Your local Section 8 authority will help you and your home become approved for the Housing Choice Voucher Program. My local Section 8 authority offers a seminar once a year to teach landlords how to become approved to rent to Section 8 Voucher Tenants.

My local Section 8 authority wants to help me succeed, because that means the Section 8 Program will have quality homes for the families they assist.

That is a win-win situation!!

Purchase Assistance
Yes, that is right. The Housing Choice Voucher Program offers home buying assistance to Section 8 Voucher Tenants. Once the tenant has been in the home for a year, the tenant is eligible to inquire about the home buying assistance program.

None of my Section 8 Voucher Tenants have utilized this program yet, but I have a tenant that is interested in the program and is approaching the one year mark.

Not only does the Section 8 Program help find me renters, the Section 8 Program also helps find me buyers!!

If you cannot tell by now, I am a Housing Choice Voucher Program convert. There are too many positives for a landlord to not include the Housing Choice Voucher Program as a tool in your landlord tool box.

Aaron
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Re-Bloggged 3 times:

Re-Blogged By Re-Blogged At
  1. Homes and Condos For Rent in Roseville CA 06/18/2011 05:42 PM
  2. Eric Crane 06/28/2011 01:56 PM
  3. Charles Stallions 08/07/2012 09:00 PM
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Rainmaker
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Donnie McKinney
Donnie McKinney CCIM, Coldwell Banker Commercial
Coldwell Banker Commercial Purchase Realty Group

I've had both good and bad experiences with Section 8. My first experience turned me against the whole system when I got stuck managaging an apartment complex I had listed for sale. As I walked up to the office to get a tour (after I signed the listing, I'm afraid), I literally met the manager locking the door and leaving - for good. The complex had a number of Sect 8 units, and I had to hire two strong backs and a dump truck to clean out the vacancies.

Recently, though, I sold a triplex with all Sect 8 tenants. The owner has never had a vacancy and is happy as he can be.

June 14, 2011 05:01 PM
Rainmaker
933,808
Bob & Leilani Souza
Placer County, CA: Foreclosures, Auctions, Rentals
Souza Realty - Roseville, Rocklin, Lincoln, Loomis, Granite Bay, Penryn, Newcastle, Auburn, Meadow Vista (California)

Aaron, I think Section 8 tenants should be looked at on a case-by-case basis. I love how you also included links to your previous posts that discuss Section 8...I'm bookmarking this post to come back and read them! :)

Leilani

June 16, 2011 05:07 AM
Rainmaker
398,286
The Scott Loper Team Lansdale & Harleysville PA Homes
Keller Williams Real Estate - Montgomeryville

Hi Aaron,

We have an investor client who buys Section 8 housing and he has been very happy with his tenants.

Lisa

June 16, 2011 05:46 AM
Rainer
115,172
Homes and Condos For Rent in Roseville CA
mail@rosevillerentalproperties.com
Roseville Rental Properties

Aaron, I'm not sure what happened to your previous post about the cons of renting to Section 8 tenants, but I'm re-blogging this one.

June 18, 2011 05:42 PM
Anonymous
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Rainmaker
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Aaron Silverman

Improving the Real Estate Experience through Educa
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