Rands wrote:
I have been talking to someone regarding rental property and was informed that some landlords prefer renting to tenants who are on section 8 housing. According to section 8 housing, the public housing authority (PHA) will pay the landlord the difference between 30 percent of household income. In addition, PHA payment standard are 80 to 100 percent of the fair market rent. So a landlord can charge the tenant rent and expect to be paid every month by the government. To me this sounds pretty good. What's everyone's opinion on this topic? Have you had any problems renting to people who are on section 8? What are the procedures to listing your rental property on this program?
Normally you have to apply with the local HUD office and be approved for Section 8. Please never decline someone just because they're a section 8 tenant, because you'll probably get into a bunch of legal trouble.
Typically lower price range homes are made into section 8 rentals. I've represented owners who swear by this investment strategy, and others who curse it.