Pros
& Cons of Section 8 Housing Program
Source: Every Landlord’s Legal
Guide-15th Edition
By: Marcia Stewart, Attorney’s Janet Portman-Ann O’Connell
Pros: Section 8 is a mixed bag for Landlords. It
offers several advantages: The Housing Agency pays the larger
part of the rent on time every month. The Tenant’s
responsibility is low enough that they should not have too
much trouble paying on time either. If the Tenant does not pay
the rent and you have to evict them, the Housing Agency
guarantees you will receive any unpaid rent as well as
compensation for any Tenant damages, up to a certain limit.
If your neighborhood or area is popular with low-income
Tenants, you will not have a shortage of potential Tenants.
Cons: Section 8’s disadvantages are legion, however:
they include: Housing Agencies often lowball market rent, and
the program caps the Security Deposit (which might be lower
than your state’s maximum).
Your are locked into a tenancy agreement for one (1) year, and
can only terminate it for nonpayment of rent or other serious
breach of the lease. (Evictions based on other grounds are
difficult).
When HUD experiences a budget crunch, it cuts the public
housing agencies budgets. As a result, the housing agencies
are likely to lower the Landlords allotments. Though
this practice is legally iffy, it is done anyway.
To qualify, new Section 8 Landlords must often wait up to a
month or longer for a mandatory inspection-during which they
see no rent. These inspections are often picky, minor
violations that state inspectors would not cite for.
Call your local public housing agency of you wish to
participate in the Section 8 Program. They will refer eligible
applicants to you, arrange for an inspection of the rental
property, and prepare the necessary documents (including the
lease addendum) if you decide to rent to an eligible
applicant. Be sure to get a copy of the Section 8 rules
& procedures that all participating Landlords must use.
Often, they very significantly from your state or local law.