Misconceptions About Section 8 Housing

Just like people run into a lot of misconceptions surrounding various legalities with tenants’ rights, there are a lot of misconceptions about Section 8 housing, what it means, and how it relates to what you need to do as a property owner. Some people are wary of Section 8 housing or are concerned that they won’t be able to get their money if people are using Section 8 vouchers – but I love Section 8, especially with lower-income communities. I’ve also never had any issues with collecting Section 8 rent. 

Let’s debunk some of the misconceptions to give you a better understanding of the intricacies surrounding this important program. 

What Section 8 Really Is

First and foremost, what is Section 8 housing?

• Section 8 is a government program where people have to qualify for rental assistance, usually in the form of a voucher. 

These vouchers cover the entirety of the rent, and others cover a partial amount – and the tenant is required to pay the difference. In my experience, Section 8 has always paid as much or more than I expected to get for a property. Some people raise concerns that Section 8 won’t pay them enough money, or won’t give them the money they feel they deserve for a certain property. But we’ve never seen that happen. 

In reality, a lot of people struggle with Section 8 because they don’t like being told what to do. Section 8, in my experience, functions more like a verification that the rent is suitable for the property and the community. Again, you want to be keeping all your properties up to the neighborhood standards, so if you’ve priced something too high for a specific area, you’re probably not going to get the rent money you desire anyway. 

• The Section 8 process requires that they inspect the property before anyone will sign off on giving you rent money. 

A lot of people hate this, but some people just don’t like Section 8 or government programs that can potentially interfere with how they wish to conduct their business. I find that the majority of the people who embrace Section 8 are also those who are good about upholding the neighborhood standards with their properties, which makes it easier to get through the overall inspection process. 

• All Section 8 truly requires is that properties are kept up to functional, safe standards for tenants. 

For instance, the carbon monoxide detectors have to be in working order, the electricity has to be functional and safe, the furnace needs to work, etc. Section 8 housing inspections are a final verification done by a third party to make sure a property is safe and functional before they agree to pay rent money to help someone who has qualified through the program. 

Many landlords absolutely love that. Others may feel that something is petty, a waste of time, or refuse to make adjustments to a property based on a third party’s assessment. If that’s your take, we respect that decision. However, if you want to look at this in a positive light, Section 8 housing is a great way to verify that your property is priced to the neighborhood standards, and it gives you peace of mind that you’ll get rent money every month. 

How Section 8 Applications Work

Regardless of whether a prospective tenant has a Section 8 voucher or no voucher at all, the application process has to remain the same. 

Someone still has to fill out the full application, they have to make note of any pets they have and answer the same questions as anyone else. You can’t give someone special treatment because they may qualify for Section 8 and you want that verification. Everyone still has to go through the landlord verification process to ensure they’re the right fit for the property. 

We turn down as many Section 8 candidates as we do other candidates, so this can’t be treated like a get-out-of-jail-free card or a way to skip the background check. You still need to make sure you’re dotting all your i’s and crossing all your t’s to keep the process fair to everyone who applies. 

Not every Section 8 candidate will be able to pass a criminal or credit check, so don’t expect everyone to make it through the screening process just because they’ve qualified for a government program. 

You do want to make a conscious decision about whatever applicant you ultimately choose to rent a property based on all the information – but don’t assume someone is going to be a bad candidate, especially if they’re a Section 8 applicant, because they don’t have the best credit or because they’ve got a criminal history. 

Sometimes people go through a bad patch and are trying to get back on their feet. Depending on the property and the owner, you might want to give someone a chance. 

Not every property needs to be a Section 8 property, but most can be – and for most people, Section 8 is a win. 

• If you want to work with Section 8 more efficiently and smoothly, make sure to ask your potential or current property manager about their relationship with Section 8 and their overall view of the program. 

Our company has a great relationship with Section 8 because we support it and want to work with them. However, if you want to work with Section 8 and your property manager doesn’t support Section 8 or has an adversarial relationship with the program, you might run into issues. 

If your property manager doesn’t get along with the people who perform inspections or write the checks at Section 8, keep in mind that they have a job to do. If you or your property managers don’t work with them, there’s going to be a problem because they’ve got bosses to please and a bureaucracy to navigate, too. 

The relationship between property managers, property owners, and Section 8 housing officials is unlike any other, but it’s critical and – if handled correctly – can make you a lot of money.

Final Thoughts

If you’ve historically thought Section 8 housing applications and tenants are negative and won’t be a good fit for your goals as an investor, I hope you reconsider now that you know more about the common misconceptions. Section 8 can be a really good way to guarantee you’ll get rent every month, on time. While it is a process, and some parts of the process can cause more headaches than others, most property owners don’t have anything to worry about. 

As long as your property is in good condition, the rent is priced fairly, and you’ve done your due diligence to make sure you’re offering something that wouldn’t be a problem for Section 8 inspectors, it should be easy to connect a tenant who is part of the Section 8 housing program to your vacant property. 

You do have to be fair throughout your application process to make sure you’re not giving preferential treatment to anyone. Just like you shouldn’t deny Section 8 applicants or rule them out based on that status, you also shouldn’t give advantages to those tenants over others because you feel more confident about the chances of getting rent money every month. 

Your property manager or property management team can help you navigate the bureaucracy of Section 8 housing and help you make the right decisions for not only your goals as a property owner, but for your prospective tenants. We’re professionals, and we want to make sure you have every possible advantage to be successful in this business.