Rental Property Investor · Galesburg, IL · Member since 2020 · 10 posts · 4 votes
I close January 4th on a home that has a tenant. This is a section 8 tenant and will be staying at least another year. To make it a smooth transition for payment I’ve been in contact with housing authority and was given information. Well one of the forms is form 1199a Direct deposit sign-up form. I’m completely dumbfounded by it. I’m normally not this easily confused.
JD, CCIM , Real Estate Broker · Tuscaloosa, AL · Member since 2014 · 1k+ posts · 1k+ votes
5y
@Andy Giles Did you apply to the local Public Housing Authority to be approved? You don't get approved for voucher payment just because you bought a property that had a voucher tenant. Some people are disqualified from being Section 8 landlords, which is why new owners must go through the process. But, yes, most PHAs prefer direct deposit of voucher checks. That does not cover any additional rent due from the tenant.
JD, CCIM , Real Estate Broker · Tuscaloosa, AL · Member since 2014 · 1k+ posts · 1k+ votes
5y
@Andy Giles, things like a successful Fair Housing complaint filed against you in the past, a current Fair Housing complaint under investigation. A recent felony conviction involving moral turpitude is probably a disqualifier. You might be approved as a landlord but if you want to rent to a parent, child, grandparent, grandchild or sibling, there are special rules to follow that basically have to do with your relative being disable and having no other choices.
Rental Property Investor · Saint Louis, MO · Member since 2018 · 228 posts · 279 votes
5y
@Andy Giles, here in STL, we don't have to apply to be a Section 8 landlord. I acquired my first Section 8 rentals through a purchase and just completed the paperwork that you're talking about. No background check or approval or anything. Every Housing Authority follows the same basic processes but operates on their own so their specific processes will vary from one to the next. If they haven't told you you have to apply, you probably don't.
Anyway, I'm not sure what's confusing you about the form without a little more detail. Can you specify what's confusing?