If anyone here has done section 8 rentals, I'd like to hear your thoughts especially around tenant management between the two property types (mobiles & section 8).
In some places section 8 can pay quite a generous sum in rents, of course the downside is that tenant quality tends to not be so good.
Despite that, does the appreciation potential of the stick built home make section 8 potentially more lucrative? I'd love to hear the thoughts of anyone with experience!
@Gary Clisele 1/3 of my rentals are rented to section 8. I think it is a great program and some of my better tenants are on section 8. To be honest the only problem tenants I have right now aren't on the programs. The majority of the tenants in my area don't want to mess up and get kicked off, same goes for the landlord. The inspections are a plus because there are min. standard we and the tenants needs to keep the properties.
I do not know much about mobile homes. I think the key is if you can purchase decent homes below replacement cost and rent out for a profit after expenses you are in a good position. I like +15% cash on cash return.
@Gary Clisele I've heard both the good and the bad concerning Section 8. Some have great experiences while others do not. The fact remains it's a government program so you'll just need to be prepared to deal with the red tape especially when it comes to inspections. Hope this helps!
I don't have experience with Section 8, but I've read the book "The Section 8 Bible". You might want to get that, it had a lot of good info.
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