How does one buy a rental occupied by a Section 8 tenant?
5 Replies
Joshua S.
Real Estate Agent from Chesapeake, VA
posted about 1 year ago
Hey BP community,
I have a client that is looking to buy an occupied Section 8 rental in Portsmouth, Virginia, and keep the current tenant. Does anyone know what the process is when buying a property is already occupied by a Section 8 tenant? I know that when you want to turn a property into Section 8, that there is an application process. Not sure what the process is for buying one that's already section 8. Thanks for any help!
John Underwood
Investor from Greer, South Carolina
replied about 1 year ago
The hard part is getting the house and tenant approved.
All you have to do is fill out some nominal paperwork. Like where to deposit your rent.
If rents are below market it is easy to request a rent increase.
Kevin Sack
Rental Property Investor from Clovis, NM
replied about 1 year ago
@Patti Robertson is the expert on this
Patti Robertson
Property Manager from Virginia Beach, VA
replied about 1 year ago
Hi @Joshua S. . The most important part is to make sure SEC 8 gets notified 15 days or so before closing so they can put payments on-hold and avoid a payment going to the old owner after closing. Other than that, just notify SEC of the sale. They will send a package to the new owner to identify themselves as the new payee. Easy peasy. Feel free to call me with questions.
Michael Noto
Real Estate Agent from Southington, CT
replied about 1 year ago
@Patti Robertson is spot on with this. It is the same process here in CT with sec 8 rentals.
Joshua S.
Real Estate Agent from Chesapeake, VA
replied about 1 year ago
Originally posted by @Patti Robertson :Hi @Joshua Saunders. The most important part is to make sure SEC 8 gets notified 15 days or so before closing so they can put payments on-hold and avoid a payment going to the old owner after closing. Other than that, just notify SEC of the sale. They will send a package to the new owner to identify themselves as the new payee. Easy peasy. Feel free to call me with questions.
Thanks Patti! That's a huge help.