Landlord Question and Answer Forum

Has anyone out there ever had a good experience with renting to Section 8 tenants?

Not me- or any of the LL's I know. It's my experience that Sec8 is too high a risk for the small LL/homeowner.

Posted by Balkys S, MA on Wednesday, August 26, 2009

I'm about to start a new sect 8 lease and getting real nervous about the whole thing. I have an existing tenant who got qualified for S8. She is driving me crazy already.

Posted by Julio G, NY on Thursday, August 27, 2009

Listen to your instinct. If you have a bad feeling about it, you should back out. It's nearly impossible to raise rent after the 1st year of the intial term. Take your chance on the open market.

Posted by Balkys S, MA on Thursday, August 27, 2009

Ask yourself if you can afford $20k in legal fees. Because if this tenant doesn't work out, that's what you can expect to spend.

Posted by Balkys S, MA on Thursday, August 27, 2009

Don't do it. The Housing people will inspect your property and make you incur costs to make changes, then don't protect you when their tenant ends up destroying it all anyway. Guaranteed payments sound like a great deal, but they don't take into account all the headaches you will have and the damages you will have to deal with. In the long run, you won't come out ahead.

Posted by Billie P, TX on Thursday, August 27, 2009

Oh yeah- you can't willingly increase your rent either the following yr. This is frawned upon. Housing people tell you that you can, but it's a lie. They send you paperwork and they have to approve the increase, and this process takes about 6 mo. - 1 yr before rejection. They stall the process. What's worst, if they decrease their subsidized portion, the tenant is responsible for paying the increase on the remainder, and if they don't pay you, you're collecting less in rent. For ex. if unit is $1155, tenant pays $121, Housing people pay $1034 rent is made. But if housing drops to $1006, the tenant is now reponsible for $29 more rent at a total of $149. Courts will say $29 is petty and force the LL to work out a payment plan with the tenant. Meantime, you've lost more the $29 on the process of getting court. Froms and Filing fees $90 - $135, Constable $75, Parking to go to court $20-$25. This doesn't include the day you took off from work.

Posted by Balkys S, MA on Friday, August 28, 2009

OMG housing just stopped paying for my tenant. They say she has to have a hearing to requalify. Right now I have not been paid August payment and I am also looking at not getting September payment. Her lease expires end of October 2009 and I am not going to renew it. She complains about every thing. She just came back from Jaimaica (went there for holiday). I had to track her down to send me her potion of the rent via western union. Never again. How can you afford to go on vacation when your rent has not been paid?

Posted by Hope S, TX on Monday, August 31, 2009

Start the eviction process ASAP. She is responsible for the remainder of the rent. If housing has stopped payments, it's a serious or they feel she's able to afford the rent on her own. It's advantagous for you to go to court to evict her NOW, IMMEDIATELY while you can prove that housing is no longer paying for her and she's unable to because she's on vacation in Jamaica. Good luck

Posted by Balkys S, MA on Tuesday, September 1, 2009

I have to laugh at all these posts. ANY tenant is a gamble, and the only thing housing will make you repair are things you SHOULD repair as a landlord. I have had several section 8 tenants. All of them were properly screened (credit check, references, etc.) and every one of them has worked out. I have one tenant that has been in my same rental for 5 years and has had one HOA notice about something that was out of her control. I think people are being unrealistic with their horror stories. Eviction is expensive with normal tenants. The nice thing about Section 8 is that the good tenants fear their assistance will be taken away and often do not pose much harm. On the flipside I have rented to non-section 8 renters and have had an entire host of issues.

Posted by T K, CO on Thursday, October 22, 2009

I have to agree with TK. I'm in CA and I've used Housing for 25 yrs. Yes, there has been some problems, but no different than the non-Housing. Sometimes rent is a little late, but the usually pay up. You can always send the tenant a 3-day notice to pay or quit. A copy should always be sent to housing. This tends to get the tenant to pay up. If they don't, they could loose their voucher. The same is true if they owe you money at move-out. Back in the day it was wasn't as good for landlords. If tenants didn't pay what they owed, not much was done. Today, it's a different ball game. Some of my Housing tenants stayed for 8-12 yrs. As far as rent increases, Housing checks the local rent market each yr. If you make substantial improvements or can justify) a rent increase (similar rents in the neighborhood, they'll reconsider your increase. Don't expect to get more than what the market will bear.

Posted by Stan M, CA on Saturday, October 31, 2009

I used sec. 8 three months before the lease ends section 8 send me a notice for rent increase that I have to send in to them at lease 60 days. I have no problem getting the increase

Posted by Aramah B, DE on Saturday, November 21, 2009

The two persons who have had good experiences with section 8 are pretty lucky. I have had 4 section 8 tenants always trying to think the next tenant will be better, and no luck. I had one tenant who destroyed the house so bad that we incurred over $3000 to get it back into move in condition, and all section 8 said was "there is nothing we can do about it, you have to take them to civil court". None of my section 8 tenants have ever paid their portion of rent on time and I've always had to hunt them down just to ask what's going on. As far as fair market value, I don't know where they get their information from, but its always a lot lower than anywhere else I've checked! The guaranteed monthly payments sound good, but unfortunately I think the majority (because I don't believe its all) of the tenats are like this. Personally, I think it's not worth the headache, and I no longer rent to section 8.

Posted by Maricela & Jose C, FL on Friday, January 15, 2010

Again, tenants actions are not linked to the Section 8 program. If someone doesn't pay their portion of rent on time it has nothing to do with the section 8 program. These people are using a program as a scape goat for them choosing irresponsible tenants. Section 8 DOES allow for increases in rent when the market determines such increases are warranted. If you are stupid enough to continue renting to someone who is not paying their portion of the rent, or has been terminated from the Section 8 program thus you aren't getting paid, etc. that is your own stupidity. Again, Section 8 is simply a program that helps people pay a portion of their rent. The program itself is not the problem, its who YOU as a landlord choose to rent to.

Posted by T K, CO on Saturday, January 16, 2010

My husband and I just started last year in December with a section 8 tenant. So far so good, the house is maintained and she pays her portion of the rent on time, but she nit picks at everything where it got to the point where my husband was coming over to the house every weekend because she had a problem with something that she wanted changed or did not like. Pretty much petty minor things. We really had to put our foot down with her because majority of these section 8 tenants think that they can just run all over you. We haven't really had any other major problems with her. Like previous poster said you take a gamble with any tenant whether they are section 8 or not. Since this is our first section 8 tenant we are looking to see how this year goes if we want to continue or not. You not only have to deal with the tenant, but with the county as well in regards to inspections etc. Good luck with your decision and keep us posted on what you decide.

Posted by RONALD J, FL on Saturday, January 16, 2010

I'm not sure why Section 8 renters are being bashed. If LL would do proper screening, have a signed agreement, and collect rent/deposits before turning over the keys, a lot of problem would be eliminated. Instead, some LL are influenced by promises and having a renter NOW! You're better off keeping the property vacant a little longer vs rushing to fill a vacancy. That's economically better than having to evict a tenant who has not payed rent for several months, not to mention expenses to have them removed and your time.

Posted by Stan M, CA on Saturday, January 23, 2010

I have to agree with TK also. I have not had any problems with sec 8 tenants. My dad has had rental units for over 30 yrs and he loves sec 8. I guess it might depend on the housing office you deal with. It seems in my town the sec 8 tenants are affraid of losing there assistance so they always seem to be on their best. I keep my units in good shape but they are not in great shape and I have no problems passing inspection. Keep in mind though this is not cash and every penny should be reported to Uncle Sam.

Posted by Gabriel D, RI on Friday, January 29, 2010

I specialize in renting to Section 8 tenants. They have been the best tenants. I only had one experience; the tenant did not want me to do work in the house. She had people living in the house that was not on the lease. That did not bother me; she had some issues. The other tenants pay on time and keep the house in order and fix the house up by replacing tile on the floor and keeping the yards up. I rentend to a non section 8 tenant and she did worse. She had a salary over $100,000.

Posted by Arnita B, DC on Saturday, January 30, 2010

I have a section 8 tenant who is 5 months behind on her portion of the rent. I can’t evict her because it’s winter time. Does anyone have any suggestions of advice?

Posted by Angela G, NY on Sunday, February 21, 2010

I'm not sure what you mean by "I can’t evict her because it’s winter time." Send tenant (and Housing a copy) a Notice to pay or Quit. Usually those on Housing have other resources (excluding you) to help with the rent. More than likely, Housing will contact them and inform them that if they don't pay, they will loss their subsidy if they have to move. If Housing rules are the same across the USA, they will make up the difference. There is no reason a LL should wait 5 months before demanding rent payment. Keep us posted.

Posted by Stan M, CA on Sunday, February 21, 2010

As a new LL, I opted to rent to a Section 8 without reading the S.8 contract closely. I assumed my own private lease agreement with the tenant was still intact but the S.8 contract has a clause which gives the S.8. contract primacy in case of conflict. So, my lease which stated the tenant was responsible for the elect.bill was trumped by S.8's which said the LL was. As a result, the tenant is now abusing and running up the elect. bill even more after I informed him I wouldn't be renewing the lease.

Posted by C. D, WA on Saturday, April 17, 2010

Well about to start my first one and hope that this person will work out. I tried a person who not on Section * and they worn up thnigs too. So I guess any renter you get is a risk at best. I don't have my own lease agreement and will inspect my house on a regularly bases so hopefully I will stay on top it. I want allow myself to get caught in the sad stories. mtn

Posted by Donna R, MS on Monday, April 19, 2010

did it only once.. never again. The house was totally trashed...and section 8 doesn't pay damages..or allow me to have a damage deposit on the tenant. That was the real problem... NO DAMAGE DEPOSIT. any other tenant ..I had 2 months of deposit... section 8..nothing. NEVER AGAIN once was more than enough

Posted by Deb S, NY on Tuesday, April 20, 2010

I'm becoming a new LL, with section 8, I am in the process of doing my own contact. I just found out that I would be getting a 1099 form at the end of the year. The young lady is trying to rush me into telling her how much will she be paying. I'm making sure I dot all I's & cross all T's. I can use all the advice anyone have to offer. L TX

Posted by Linda W, TX on Sunday, May 9, 2010

Its hard if not impossible to evict a section 8 Think it over carefully

Posted by Cindy H, NY on Wednesday, May 12, 2010

Bad news if sec 8 covers a utility it is deducted from check You lose either way As far as trashing a place the tenant doesnt need to be sec 8 to trash it I had one that caused 5000$ in damage and she was not a sec 8 Its a matter of checking with LL that is not the one she is renting from when she looking for new place go further back in history as that LL has nothing to lose.

Posted by Cindy H, NY on Wednesday, May 12, 2010

"allow me to have a damage deposit on the tenant. That was the real problem... NO DAMAGE DEPOSIT." This is absoluetly FALSE. If this person got told this, they were lied to. Section 8 Housing tenants MUST pay a deposit like any other tenant. "Bad news if sec 8 covers a utility it is deducted from check" Wrong again. If you charge rent all inclusive the amount you get from housing is determined by the tenants income. So if you are all inclusive and the rent is 1000. The tenant pays 30% of their income to you the landlord. Either way, you will get your entire rent check (unless your tenant doesn't pay their portion).

Posted by T K, CO on Wednesday, May 12, 2010

" I just found out that I would be getting a 1099 form at the end of the year. The young lady is trying to rush me into telling her how much will she be paying." All landlords should be reporting their rental income on their tax returns. Because this is HUD they will send a 1099. So be sure to report the income on your tax return (which you should be doing anyway). You as the landlord have no control over determining her portion of the rent. The housing authority is responsible for sending BOTH you and her notice of her portion and their portion of the rent. Most landlords I know will ask their local technician through section 8 how much the tenant is responsible for when they first get started so they can start collecting rent immediately.

Posted by T K, CO on Wednesday, May 12, 2010

"Its hard if not impossible to evict a section 8 Think it over carefully" Its hard to evict any tenant LEGALLY. Each state has its own process. A lot of landlords evict improperly. The only difference is landlords can't pull illegal tactics to get rid of someone.

Posted by T K, CO on Wednesday, May 12, 2010