Section 8 is a government sponsored housing assistance program available to eligible applicants through the Department of Housing and Urban Development. HUD issues Section 8 housing vouchers to landlords who have been certified through the program to compensate them for a portion of tenant rent.
Section 8 is available to low-income families and individuals, the elderly, and those who are disabled or financially disadvantaged. Obtaining approval for housing assistance can be a burdensome process that can take up to a year. Once approved, recipients must lease properties which have been certified through HUD.
Qualification requirements for Section 8 Housing Choice Vouchers require applicants’ gross income to be less than 50-percent of their states’ median income level. By law, the Public Housing Authority is required to provide 75-percent of housing vouchers to applicants that earn less than 30-percent of their states’ median income.
Upon approval, applicants are placed on a waiting list until suitable Section 8 housing becomes available. Every property owner that accepts Housing Choice vouchers must be certified and undergo annual property inspections to ensure they meet HUDs housing quality standards.
Recipients of Section 8 subsidized housing payments must reapply for benefits each year. Any changes in income and family dynamics must be reported to the Public Housing Authority. When death or divorce occurs, a family member moves out of the residence, or birth of a child occurs, Section 8 benefits may increase, decrease, or be eliminated.
Real estate investors who offer rental properties may want to investigate the benefits of being a Section 8 landlord. Prospective landlords must submit a Request for Tenancy Approval application through their local PHA office.
Upon approval, each rental property is subject to inspection. Once the inspection process is complete and the property is approved as Section 8 housing, property owners enter into a one year contract with the Public Housing Authority.
Minimum requirements for Section 8 landlords include providing adequate entrance and egress from the property; proper utilities including running water, heat, air conditioning, and electricity; and proper sanitation including a toilet, sink, and bathtub or shower.
Each rental home must include a bathroom, kitchen, and one bedroom per every two residents. Section 8 properties can include single- and multi-family residences, apartments, townhomes, and condominium units.
Many property owners desire Section 8 housing certification because the program provides reliable cash flow. HUDs Housing Choice recipients often make outstanding tenants and remain in properties for several years. Once tenants locate good homes with a good landlord they want to stay in the home because finding decent Section 8 housing can be difficult.
Property owners interested in becoming a Section 8 landlord, or individuals in need of housing assistance can obtain housing program information via HUDs website at HUD.gov. Although the process can be complicated and time-consuming, Section 8 can provide landlords with long-term, quality tenants and help tenants locate suitable housing; creating a win-win for all parties involved.
