im looking into buying a rental property that is currentl rented to tennants who are section8. so i guess i have some questions about what that involves...
- does it change taxes for the property
- will section 8 tennants gennerally be very rough on the property
- any other problems i could encounter with section 8 tennants
- and finnaly is there any reason i should avoid section 8 tennants in my first investment property
1. your taxes wont change on the property, but you will have to declare all of the income from rent, many landlords will not declare all income that comes in that is cash, but section 8 reports to the gov.
2. Any tenant has the ability to be rough on the property, section 8 or not. The one advantage that you have with section 8 people is that if they are paying a portion of the rent and they get behind, they can lose their section 8 forever if they get evicted for non payment of rent
3. Section 8 does require you to meet certain housing standards, but generally they require things that you will already have done if your not a complete slumlord/
I have rented to countless secton 8 people and they are no worse than other people that I have rented to. Dont buy a property exclusively becasue it is section 8, also verify rents around the property that you are looking at, section 8 rents are often quite a bit higher than normal market rents, so be sure that you are not buying a home that rents are inflated on , becasue if your tenants leave that inflated rent will leave with them.
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