How to section 8 my apartment

How to section 8 my apartment

Darsh PatelPro Member
Boston, MA · Member since 2016 · 60 posts · 15 votes

hi everyone, 

I have a few rental properties in Ohio and I am looking to try out section 8 housing for one of the properties. I’m trying to figure out how to get started. I know there is an inspection involved. Can someone with section 8 experience share what steps I need to take to put a section 8 tenant in place? I have potential tenants already interested in the apartment. 

Thanks

Darsh

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Rental Property Investor · Northern, CA · Member since 2012 · 5k+ posts · 5k+ votes
8y

@Darsh Patel  Section 8 (Housing Choice Voucher Program) is a federal program; however, it's administered at the local (county) level.  So you really should check with your county's Housing Authority office to see how their process works, because it can vary slightly county to county. 

In general, you'll want to verify that that the Section 8 applicant has a voucher and that it's appropriate for the number of bedrooms that your unit has.  They should be able to show the voucher to you.  It should say how many bedrooms they're approved for on it.  For example, you'll want to see that they're approved for 3 bedrooms if you're renting out a 3 bedroom property.

If the voucher looks good, and it's an applicant you think you might be interested in renting to, then you'd have them fill out an application and you'd screen them like any other applicant.   If they pass your screening, then you'd move on to the rest of the process with the Housing Authority.

Here's an example of that process from one of the local Housing Authorities in my area:

- After an eligible HCV (Housing Choice Voucher) tenant is selected and they express interest in renting your property, you will receive a “Request for Tenancy Approval (RFTA)” packet from the tenant. The RFTA packet is the formal documentation that you will need to complete in order to begin the enrollment process with the Housing Authority. This must be completed and approved in order to allow the HCV eligible tenant to live in the unit and for you as the landlord to receive the subsidy from the Housing Authority for a portion of the rent.

- Once all relevant sections of the packet are completed and signed by both the tenant and the owner/landlord, the packet must be submitted to the Housing Authority.

- Information in the packet is reviewed and, once approved, an inspection of the unit will be scheduled.

- When the unit has passed a Housing Quality Standards (HQS) inspection as required by HUD, the resident will sign the lease with the landlord and take possession. At the same time, a contract will be executed between the owner and the Housing Authority which will allow the owner to receive the Housing Assistance Payment (HAP) from the Housing Authority.

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  • Member since 2018 · 22 posts · 8 votes
    8y
    I believe you have to start with your local housing authority. That's how it works in my area. In Atlanta, you're required to attend a briefing/meeting, then complete the application and provide requested info about the property, then they schedule the inspection and approve or reject the application per the standards. Our housing authority publishes a checklist of items that have to be in place in order to pass the inspection. Yours may too.
  • Darsh PatelPro Member
    OP
    Boston, MA · Member since 2016 · 60 posts · 15 votes
    8y

    ahh okay! So can I still sign a lease and set up a section 8 tenant before I have done the application or inspection? 

  • Brandon SturgillBusiness Member
    Real Estate Broker · Columbus, OH · Member since 2013 · 3k+ posts · 1k+ votes
    8y

    @Darsh Patel This is all federal...its basically the same everywhere. Connect with the local metro housing authority  (MHA) (typically county)

    They will need a copy of your advertisement and pass it through there system to possible tenants. After you vet the applicants, you'll need to complete some paperwork with the MHA....it's a packet. Following that, the MHA or affiliate will complete a walk-through and rent feasibility assessment. This may take a few weeks to get through. 

    Remember, the federal government does it's due diligence...this is a very structured process. 

    Good luck! 

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  • Darsh PatelPro Member
    OP
    Boston, MA · Member since 2016 · 60 posts · 15 votes
    8y

    Thanks @Brandon Sturgill I really appreciate the thoroughness! I’m going to look into it now.

  • Rental Property Investor · Northern, CA · Member since 2012 · 5k+ posts · 5k+ votes
    8y

    @Darsh Patel  Section 8 (Housing Choice Voucher Program) is a federal program; however, it's administered at the local (county) level.  So you really should check with your county's Housing Authority office to see how their process works, because it can vary slightly county to county. 

    In general, you'll want to verify that that the Section 8 applicant has a voucher and that it's appropriate for the number of bedrooms that your unit has.  They should be able to show the voucher to you.  It should say how many bedrooms they're approved for on it.  For example, you'll want to see that they're approved for 3 bedrooms if you're renting out a 3 bedroom property.

    If the voucher looks good, and it's an applicant you think you might be interested in renting to, then you'd have them fill out an application and you'd screen them like any other applicant.   If they pass your screening, then you'd move on to the rest of the process with the Housing Authority.

    Here's an example of that process from one of the local Housing Authorities in my area:

    - After an eligible HCV (Housing Choice Voucher) tenant is selected and they express interest in renting your property, you will receive a “Request for Tenancy Approval (RFTA)” packet from the tenant. The RFTA packet is the formal documentation that you will need to complete in order to begin the enrollment process with the Housing Authority. This must be completed and approved in order to allow the HCV eligible tenant to live in the unit and for you as the landlord to receive the subsidy from the Housing Authority for a portion of the rent.

    - Once all relevant sections of the packet are completed and signed by both the tenant and the owner/landlord, the packet must be submitted to the Housing Authority.

    - Information in the packet is reviewed and, once approved, an inspection of the unit will be scheduled.

    - When the unit has passed a Housing Quality Standards (HQS) inspection as required by HUD, the resident will sign the lease with the landlord and take possession. At the same time, a contract will be executed between the owner and the Housing Authority which will allow the owner to receive the Housing Assistance Payment (HAP) from the Housing Authority.

  • Rental Property Investor · Erie, PA · Member since 2018 · 6k+ posts · 9k+ votes
    8y
    @Darsh Patel Don’t waste your time with people who don’t physically have the voucher during the showing and it must match the property dwelling . Remind them to bring the voucher with them when you show the place . It’s a big problem that wastes time
  • Rental Property Investor · Wilmington, DE · Member since 2015 · 22 posts · 2 votes
    8y

    @Darsh Patel Buy and read "The Section 8 Bible".  Once you find what you think is your tenant, take their packet and tell them you'll meet them after you fill it out for them to sign.  The tip/trick here is to call them one day and say you're in the neighborhood (their neighborhood) and that you wanted to stop by for them to sign the packet.  Go in their place and take visual note of any major damage such as holes in walls and so forth.  Minor mess is just that, minor mess and shouldn't be worried about.  If you see they destroyed the place they're moving from, they will destroy yours.  At that moment you can still walk away from that tenant without any legal issues.  

    Buy the Section 8 Bible.... Best advice for Section 8 investors.  

  • Investor · Aurora, IL · Member since 2017 · 31 posts · 13 votes
    8y
    @Kyle J. I’m considering placing Section-8 tenants as well and was wondering how the security deposit or additional pet/service fees are handled- tenant or agency?
  • Rental Property Investor · Northern, CA · Member since 2012 · 5k+ posts · 5k+ votes
    8y
    Originally posted by @Thomas Peddle:
    @Kyle J. I’m considering placing Section-8 tenants as well and was wondering how the security deposit or additional pet/service fees are handled- tenant or agency?

    Security deposits are paid by the tenant and handled just like with any other tenant. 

    Any “fees” that are paid by the tenant that could be considered additional rent would have to be reported to the Housing Authority for them to take into consideration when they’re determining the tenant’s portion of the rent. At some point in the paperwork process you’ll have to report anything/everything the owner pays for and everything the tenant pays for (i.e. rent, utilities, trash, other, etc), and sign a Landlord Certification form that says (among other things) that you “understand that the tenant’s portion of the contract rent is determined by the Housing Authority and that it is illegal to charge any additional amounts which have not been specifically approved by the Housing Authority.”

    So you just have to report it up front. I’ve been told that if a landlord gets caught taking any money from a tenant outside of what’s been approved by the Housing Authority that the landlord will get kicked out of the program. The last thing you want is to get kicked out of the program while the tenant is still in there because you’ll still have the tenant but not the payment. 

  • Investor · Philadelphia, PA · Member since 2010 · 739 posts · 372 votes
    8y
    Originally posted by @Darsh Patel:

    ahh okay! So can I still sign a lease and set up a section 8 tenant before I have done the application or inspection? 

     Nope

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