Low-Income Housing as a Rental Investment?

[Dominic Eickert]

Broad questions for anybody who has experience with low-income housing! 

My wife and I are looking at purchasing a low-income housing unit as our first rental investment. The history that comes with it is the current tenant has been there for 3 years and the seller hasn't had a problem collecting rent from her in that time period. The property is in a shadier part of town and there are definitely some minor rehabs at the next tenant turnover, but the current tenant seems to keep pretty good care of the place as is. She just renewed her application for low-income approval from the state, which guarantees at least 60% of the rent to be automatically paid by the state. The seller's REA said there is very little turnover with tenants and that the demand for low-income housing far exceeds the supply, which also decreases the vacancy rates.

What experiences do you guys have with the Section-8 rentals and any advice for a newbie jumping in with 2 feet?

Thanks in advance!!