Often our investors to acquire properties that we ask our opinion on the Section 8, as tenants and § 8 This article will briefly explain how Section 8, the advantages and disadvantages, and to win as § 8 tenants.
Brief overview of Article 8
First, I want to give you a brief overview of the number 8 is and how it works. § 8, the government assistance for low-income families, assistance is given to safe, decent and affordable housing. A Section 8 tenant-term should contact a local office of housing (PHA). If a tenant reaches into consideration the upper part of the choice of the PHA waiting list, the PHA issues a good selection of accommodation to the tenant. Tenants will receive the vouchers for Section 8, are responsible for finding their own apartments. The checks they receive from their home agency to pay the rent.
Basically, the law that the federal government to pay a certain amount of rent. The amount varies depending on the qualifications of the holder of the check. Once the owner found the control of a property and is approved by the landlord, there is a chain of events that take place. The holder of the test includes a form that the landlord sign. The carrier submits this form, she a social worker, the PHA. The workers in a contract with the Property Manager (PM). This contract authorizes the PHA to make subsidy payments on behalf of the tenant. If the renter returns the device, the contract ends and the tenant can continue to move with the help of another property. In addition, the PHA must conduct a physical inspection of the property to ensure that the standards of § 8 of the safety and code. After the inspection is approved and documents are in order, the tenant can move
Per Section 8
Payment of the Week: The best interest of all that the government pays on time, every time! More of your money every month not. He comes in the mail the first day of each month. In our view, this does not outweigh all the negatives of others. With our non-state investors to PM-Section 8 funds they send. Once received, he led his management fees and other charges and sends the balance to the owners. If the tenant is responsible for a portion of the rent, so the PM addresses the recovery of rent is similar to a non-Section 8 tenants.
More Section 8 lease contracts are usually 1 and sometimes 2-year contracts. Although the tenant may try to move and break the lease, he / she must seek the first new property and go through the whole process again in Article 8 The general rule is that if the investor holds the property remain, more tenants for the duration of the contract to be renewed frequently and avoid that through the hassle of Article 8 of the most beautiful walk.
Good Tenants: In general, Section 8 tenants to good tenants. Most tenants and maintained worked hard for the good and complain to the PHA against the tenant could qualify as a result of the tenant loses his title.
The disadvantages of § 8:
The difficulty of the movement: It is often a long process of formalities and inspections before the tenant can move in and start the payment. Some housing authorities are better than others, and it depends on how quickly documents are submitted, kollaudieren, and how to save the PHA is following orders. Our recommended MRI to understand the process and have a good relationship with case managers and inspectors are usually delayed by the tenant or PHA and not the clock.
Wear: The majority of tenants have Section 8 families as well as specific, which means they are found most often working families with fewer children. Accordingly, take more ownership experience on the carpet, paint, etc.
The advantages outweigh the disadvantages:
Overall, comparing the pros and cons, we believe the benefits far outweigh the disadvantages. I have a Section 8 tenant who is now in the same property for 3 years. I did not worry about the inability to hire because of poor job loss, unexpected expenses, budgeting, or pay for anything else. They were satisfied with the property so that they do in the shop to rent or to leave in view. I get my check every month like clockwork. In fact, I think I on 1 Hand count how many times I had with the tenants (one is interacting by a falling tree) in the yard! Although such a positive experience and I can not with the tenants of Article 8, the coherence of the payment is sufficient to calm investors and ready to be implemented for the inconvenience face.
Obtain Section 8:
There are several methods to tenants on Article 8, which we encourage the GP to win our investors. The first is to inform the local availability of PHA properties. Our PMs this through the publication of leaflets in offices, in which PHA Section 8 owners frequently discounted. Our pre-menstrual and in their advertising: "Article 8 of the welcome." That alone is usually enough to attract a good deal of 8th