Sunday, October 29, 2006

Section 8

Do-it-yourself landlord has a great post here about Section 8. I have been dealing with Section 8 for over two years, and have no real complaints. Here are a few things that I learned:

  • The inspector always lists at least a few things that need to be done. Usually these things are extremely minor, but need to be done in order for the rent payments to continue. While I haven't done so myself, I'd imagine that if you get on the inspector's bad side, they can make your life very difficult.

  • When I've requested a rent increase from Section 8, I've accompanied the request with comps from the local circulation. The rents of these comps are always a little higher than what I'm asking. To date they have not denied any of my requests.

  • The rents are near the top the fair-market value range.

  • Rent is always in your mail box, on time.

  • Section 8 tenants have an extra incentive to take care of your place and pay their rent on time: if they don't, they lose out of the free money. This is powerful = )

4 comments:

Trisha#1 said...

I love Section 8 tenants! I wish they were all that good!

Pugsly said...

See for me, section 8 is an anathema. To get 'standard' insurance whenever I buy a property I have to agree to stop taking section 8. And, in my experience, people who pay their own money for rent are more invested in their residence and more likely to take care of it.

Some may like section 8, but the first thing I do when I buy a property is to stop accepting section 8.

Pete said...

My experience with Section 8 has been very positive. By working with the housing authority and the tenant, I've had good experiences. When I have had issues I have communicated to both the tenant and the housing authority, and I let the tenant know I am doing that. The tenants like the program, and have cooperated to stay on it. But, I'm sure I'll have a bad experience in the future, and I'll remember your warning!

I haven't had the insurance issues either.

Alla said...

I have had section 8 tenants for 3 years. I used to like it, but now section 8 (PHA) administration keeps coming up with new rules and regulations that do not make life any easier. Nor mine, neither for the tenants. First they introduced landlord certification, 3 years ago it was $120, now it is up to $200. Last year they came up with the idea of mandatory "agents" for landlords who do not live within 25 miles from Phila. Thanks to this, I had to decline an application from very decent family (sec.8 clients) who wanted very much to live in my house. See, I live in Brooklyn, and for PHA it is a "no-no". Has anybody heard anything about this new "agent" thing, and what to do about it?
Appreciate any information.