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What are Section 8 Landlord Benefits and Drawbacks?
Section 8 Rentals PART 2

Are you thinking of having Section 8 rentals but you are not sure if it is right for you? Then compare the advantages and disadvantages of becoming a Section 8 landlord in this Part 2 of our Section 8 Rentals Guide.

Have You Read Part 1? If No, Click here for Part 1 of this What is Section 8 Guide.


What are the Benefits and Advantages of Becoming a Section 8 Landlord?

 One of the best things about accepting Section 8 tenants is that the government will be footing at least 60% of the rental bills. If the rent for your rental property is low, the housing authority may end up paying the entire rent.

This is single greatest benefit and advantage of owning Section 8 rentals - Guaranteed and effortless rent collection paid out to you like clockwork every month. 

For the remainder of the rent that has to be collected from your tenants, collecting it should be a breeze as long as you had screened your tenant applicants carefully. Click here for our Section 8 landlord guide to screening tenants.

Most Section 8 tenants will pay up their rents on time because they do not want to chalk up a bad record and risk losing their precious rent subsidies.

If your rental property is in a neighbourhood that attracts residents with lower incomes, accepting Section 8 renters can greatly boost your pool of potential tenants. That makes it easier to find your dream tenant so you can enjoy a bump-free ride as his landlord.

For some landlords they do derive a lot of personal satisfaction taking part in the Section 8 housing program because they are providing housing for the poor and needy. One of the Section 8 property owner that I interviewed told me being able to help a struggling single mum find a place to stay is a greater reward than any rental income.

What are the Drawbacks and Disadvantages of Being a Section 8 Landlord?

If Section 8 rentals are so attractive, why is there still a shortage for rental properties for this program? Well nothing is perfect and this Section 8 housing program does come with its own bag of disadvantages and drawbacks.

As a Section 8 property owner, you will enjoy less freedom and will have to follow a stricter set of laws. For example, we have already mentioned in Part 1 of this guide that you can only ask for a maximum of 1 month's rent as security deposit instead of the usual 2 months.

The lease period of your rental agreement will be to be locked in for 1 year and there is no way for you to end it early unless your tenant does not pay his rent or commits a serious violation of your lease agreement. If you are looking for a month to month tenancy or a short term lease, then Section 8 rentals are not for you.

On top of that, you cannot freely decide on the amount of your rent. Your Section 8 housing authority has the power to decide what is the fair rent of your property according to the current market rates. Some landlords have complained that their local housing agencies tend to be stingy and set the rent too low.

Before you are accepted as a Section 8 landlord, your rental property has to be checked by home inspector to make sure that it passes the housing authority's health and safety codes. Click here for our quick and easy tips on passing your Section 8 inspection.

You may have to wait up to 1 month before the home inspector drops by for an inspection. You can end up losing a lot of potential rent if your rental property is sitting empty. If your property is aging or you are unlucky enough to run into a picky inspector, you may have to fork up extra money to get your property into shape.

Read what our visitors have to share below OR Scroll down to add your own comment

Do You Think that Landlords Should Join Section 8?

Are the secure rent payments from the Section 8 housing program worth the tigher rules and extra trouble? If you rent out to Section 8 tenants or had them before, share your valuable experience with everyone here - We will love to hear your tips, comments and real life stories:

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What Our Visitors Have to Say on Being a Section 8 Landlord

Click on the links below to read the valuable tips that our other visitors have to share:

Do I Like Being a Section 8 Landlord?  Not rated yet
When it comes to being a Section 8 landlord, I definitely have mixed feelings. While the rent is eventually paid up, 8 out of 10 times it will be late....

Why I Dislike Section 8 Tenants  Not rated yet
I am a first time Section 8 landlord and my experience with Section 8 rentals was not a good one. My Section 8 tenant was supposed to move into my three ...

When to Accept Section 8 Rentals  Not rated yet
Are Section 8 rentals right for you? Like many things in life, there isn't a straight answer to this question. Let me share why I decided to become a Section ...



Do you want to learn MORE must-know facts on being a Section 8 landlord?

Return from this Section 8 Rentals page to our What is Section 8 Housing guide


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