Best State/City for Section 8
MARK S KINGPro Member
Investor · NC · Member since 2021 · 3 posts · 10 votesBest State/City for Section 8
Most Popular Reply
Investor · Rochester, MI · Member since 2017 · 1k+ posts · 584 votes
3yThere are various housing committees, grants, and other organizations in and around the city of Detroit. There are many maybe 80% of them will not share much information with investors or landlords, it’s not their job and frankly that’s just extra work for them the case workers. Some of them are rockstars and have a drive in their job, those few that I know have provided me their database of open vouchers that need to be fulfilled and they are having a hard time. One of them calls me every week to get an update on my properties and whether I have any vacant so she can fill. Their rates are very reasonable 1bedroom $1000 2 bedroom $1250 3. Bedroom $1550. But the reason I’ve gotten this information is the upkeep I do with my properties and the case workers love it! They come in on the 1st inspection and it’s passed. On all my section 8 inspection I have my contractor walk with the case worker fixing, replacing or repairing anything they might have a concern about right there as the inspection is going on. If it’s an item that needs time or needs to be picked ip at the store I send the case worker my pick up order information in an hour and stating that the guys are working on it. There is one case worker that blew her mind on my process that she sat down with me to discuss their organization and how they have a tier system of helping people get a place to live, this is where I found her information alone had a database of 7000 people that had approved applications but no place to go. When digging deeper, I notice a lot of landlords would rather take cash tenants and not deal with double inspections with section 8. The way I look at it is the place has already been inspected by the city what’s the difference. There are many benefits with section 8 in order for the tenant to be placed in one of my properties they go through a process with the committee then when living in the property they need to abide by lease rules and keep the property in shape, if major damage is made or neglect to the property by the tenant they may losE their voucher from section 8, so it’s a very good idea to go this route and food for thought you always know your property is up to date safety wise and livable with annually inspections.
84 Replies
- Member since 2024 · 4 posts · 0 votes2y
Quote from @Travis Biziorek:
I have three tenants on Section 8. For a 3 bed/1bath home you can easily get $1,300/mo here in Detroit. And numbers I believe are up to $1,650/mo (or something like that) if you include utilities. I know they adjusted voucher limits higher again this year and we'll be pushing for increases on ours when they come up for renewal.
Is there a specific area in Detroit you buy in for section 8 rental? I’m in Utah, not familiar with that area. I’m looking to buy my first rental for 110k or less, is that budget going to get me a place out there that will actually be rented out every month?
- Investor · Arroyo Grande, CA · Member since 2014 · 1k+ posts · 1k+ votes2y
Quote from @Cole Brittner:
Quote from @Travis Biziorek:
I have three tenants on Section 8. For a 3 bed/1bath home you can easily get $1,300/mo here in Detroit. And numbers I believe are up to $1,650/mo (or something like that) if you include utilities. I know they adjusted voucher limits higher again this year and we'll be pushing for increases on ours when they come up for renewal.
Is there a specific area in Detroit you buy in for section 8 rental? I’m in Utah, not familiar with that area. I’m looking to buy my first rental for 110k or less, is that budget going to get me a place out there that will actually be rented out every month?
Yes, that's a budget that will get you into a decent area for SFH. I'm assuming you're talking $110k cash and not an amount you'd be pre-approved for?
Finding solid deals on the MLS that you can finance up-front is more challenging but still doable. I generally focus on off-market stuff where we can add value though.
- 2yDrew SygitBusiness MemberProperty Manager · Royal Oak, MI · Member since 2012 · 12k+ posts · 9k+ votes
@Cole Brittner we've helped hundreds of investors buy in Detroit the RIGHT way and avoid scams.
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Because Detroit is actually Block-By-Block in many areas, we also take videos for our clients before they buy.
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Logical Property Management4.9465 Reviews - Realtor · Cleveland, OH · Member since 2023 · 340 posts · 215 votes2y
Hi, yes, check out Ohio!
- Member since 2024 · 41 posts · 12 votes2y
I can't speak on other markets, but I work with a lot of investors that exclusively look for section 8 deals in the Pittsburgh market!
- Member since 2020 · 41 posts · 13 votes2yI live in northern NJ and Interested in the Pittsburg market for section 8 rentals. Are you a broker?
Quote from @Joseph Beatty:
I can't speak on other markets, but I work with a lot of investors that exclusively look for section 8 deals in the Pittsburgh market!
- Member since 2024 · 41 posts · 12 votes2y
Quote from @Michael Bishay:
I live in northern NJ and Interested in the Pittsburg market for section 8 rentals. Are you a broker?Quote from @Joseph Beatty:
I can't speak on other markets, but I work with a lot of investors that exclusively look for section 8 deals in the Pittsburgh market!
Hey Michael, I'm not a broker, but I am a licensed agent, and we come across section 8 rental properties pretty often. Happy to connect and talk more about the current market.
- Member since 2023 · 17 posts · 2 votes2y
Quote from @Jimmy Lieu:
Quote from @MARK S KING:
Hello, any input on the best market for section 8? Looking for a way to analyze the highest allowance from Sec8 vs the lowest priced homes, wondering where you can get the most bang for your buck. I have heard the target is at least 400-500 per month net positive cash flow based on 20% down. Where are you seeing opportunities? Thank you!
Hi Mark, Columbus Ohio is a great market for section 8 rentals. I really see Columbus Ohio as an extremely safe bet for the next 10-20 years. Plus, there's still so many positive cash flowing and 1% deals here in Columbus Ohio. Just this month, I’ve gotten under contract for my clients for multiple 20%+ cash on cash rental properties so there’s definitely tons of opportunity here. As a local investor and agent here in Columbus, let me know if you have any questions or want to connect!
Hey Jimmy. Just coming upon this thread. Wondering how's the current market in Columbus with section 8, rent to price ratios, ect? It is still looking strong like it was a year ago when you made wrote this? I appreciate your input. Thanks!
- 2yJimmy LieuBusiness MemberReal Estate Agent · Columbus, OH · Member since 2019 · 3k+ posts · 2k+ votes
Quote from @Samuel Qandah:
Quote from @Jimmy Lieu:
Quote from @MARK S KING:
Hello, any input on the best market for section 8? Looking for a way to analyze the highest allowance from Sec8 vs the lowest priced homes, wondering where you can get the most bang for your buck. I have heard the target is at least 400-500 per month net positive cash flow based on 20% down. Where are you seeing opportunities? Thank you!
Hi Mark, Columbus Ohio is a great market for section 8 rentals. I really see Columbus Ohio as an extremely safe bet for the next 10-20 years. Plus, there's still so many positive cash flowing and 1% deals here in Columbus Ohio. Just this month, I’ve gotten under contract for my clients for multiple 20%+ cash on cash rental properties so there’s definitely tons of opportunity here. As a local investor and agent here in Columbus, let me know if you have any questions or want to connect!
Hey Jimmy. Just coming upon this thread. Wondering how's the current market in Columbus with section 8, rent to price ratios, ect? It is still looking strong like it was a year ago when you made wrote this? I appreciate your input. Thanks!
Hi Samuel, yup the current market of Columbus Ohio is still great and able to find tons of deals that hit the 1% rule and positive cash flow. If you're working with section 8, you're able to cash flow even better than normal LTRs because you can typically charge higher the standard market rents. I have tons of real estate clients who have crazy cash flowing rentals that are killing it because they accept section 8 as well. Definitely should check out the market here because you get an amazing mix of cash flow and appreciation. Happy to connect and answer any questions you may have! :)
Jimmy Lieu, Red 1 Realty4.9121 Reviews
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