section 8 in houston texas

[Tri Le]

Hi everyone, 

After listening to the recent podcast with Joe Asamoah, I was inspired to look at Section 8 more closely as a viable long term rental model.  

I am interested in buying a house in Houston that is 5 bd and 4 bath, and then renting it to Section 8.  I looked at the City Metropolitan Housing Authority and vouchers for 5 bd in this particular zip code is approx $3200.  The house is listed for $290,000.  Perhaps, I could make a 6th bedroom and get $3600.  

I do not have any experience with Section 8 other than reading The Smart Section 8 landlord.  Is there anyone in Houston or Sugar Land that is implementing this strategy and does it work?  Are there any pitfalls?

Your input is kindly appreciated!

[Adam D Rinehart]

@Tri Le make sure you also check the HUD zip code chart for Houston. Some zip codes are only eligible to get 97% whereas others can get 110% to 120% FMR. Joe was also very clear that his success is almost entirely based on his screening standards which are extremely stringent. His model works because he creates a high end property and has a system in place to only accept top tier tenants. Not all prospective are created equal, and section 8 voucher holders are no exception.