Downside of Section 8 renters?

Question

Hi all,

Newbie to the landlord world.  I have a vacancy and an applicant who is section 8.  I know the money will be there every month but I'm curious as to the downside of section 8 tenants.  Anyone here have any experience with section 8 tenants?  Can anyone fill me in about the "stereotypes" of section 8 tenants?

Thanks BP

Thomas S. · Answer

I have had a few of what would be the same as your section 8. Government welfare tenants.

I inherited them and each and ever one had a serious attitude problem. They all had a inflated scenes of entitlement. They all were "poor me" the world has treated me wrong and each resented anyone with the slightest bit of authority or money. I hated everyone of them and would never choose to have welfare tenants. I did force all of them to pay on time but was determined and eventually evicted or otherwise got rid of them all.

They all fit the welfarian stereotype and were in fact typical of the vast majority of welfare recipients in Ontario Canada.

Hopefully your section 8 recipients are different.

Lynn McGeein · Answer

I do not like the annual inspection as, depending on the inspector, you get the weirdest repair demands, no time to do them before they withhold rent, even if caused by tenant.

For tenants, I don't like that Section 8 tenants don't have the expendable income my other tenants seem to have, and mine tended to duct tape and spray foam everything and not tell you about it, even after extended conversations about calling and not repairing anything themselves.

JD Martin · Answer

Downside: meeting what can be onerous nitpicking standards by your local housing authority. Sometimes dealing with tenants that have little/no "skin in the game".

Otherwise, it is more or less like renting to anyone else. Unless they share that info with their neighbors, no one will know they are Section 8. I don't accept Section 8, but I know lots of landlords that do and love it.

Douglass Benson · Answer

We are a smallish (81 units) apartment operation in mid-Michigan.  We own C+ to B- buildings with B+ interiors.  We do not rent to section 8 tenants.  The promise of a "guaranteed check" each month isn't worth it.

Section 8 requires additional paperwork, additional fees, additional inspections and additional costs.  Why would any of you want that added to your day?

As property managers we should all be good enough at selecting our tenants that we get that same check without all the government support behind it.

Thomas S. · Answer

In Ontario welfare recipients or ODSP can authorise the government to pay their rent directly but they also can cancel that direct payment upon their request. The government has deemed them to be untouchable in that government income may not be garnered. Any landlord renting to a individual receiving welfare is taking a extremely high risk.

It is wise to determine through screening that a tenant can pay and also that the landlord will be able to collect in the event the tenant stops paying. Landlords can not collect from welfare recipients in Ontario.

Matt Geerts · Answer

Correct me if I am wrong... Isn't section 8 rent paid by the govt? In Ontario someone figured that paying a welfare recipient's rent for them is a violation of human rights. Between that and them being legally protected from being sued, they are a 100% risk. Maybe S8 is different.

Kyle J. · Answer

Section 8 tenants are mostly just like any other tenant group...they can be good or bad depending on the specific tenant.  I rented to my first Section 8 tenant last year and so far she has been a good tenant.

I guess the only downsides are that there is a little bit of extra paperwork up front to get things set up with the Housing Authority, and then there's the initial and annual inspections.  But personally I don't mind any of that stuff.  The initial paperwork was pretty easy to fill out and you (as the landlord) don't have to be present for any of the inspections.  I never am.  If something needs to be fixed as a result of the inspection, well that's been pretty easy too.  During the initial inspection the inspector found two small things that needed to be fixed and all I did was go over and fix the two things and then email him a couple pics showing that they were fixed and he signed off on it.  Didn't even require another inspection.

James DeRoest · Answer

We have a few. For the most parts they are great tenants, but we were very picky.

The only one we have a problem with is a lady we inherited who doesn't pay her $90 each month. Sometimes we get it, most times we don't. Trouble is that its in our interest at the moment to keep it rented and forget about the money. If I have a problem over $90, then I have bigger problems than $90.

Downside of Section 8 renters?

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