If you read our last post about accepting Section 8 vouchers, here’s even more information that you’ll need to know before you buy a rental property. These are some common issues landlords run into.
What Happens When You Accept Section 8?
Here are a few more things you need to know about working with Section 8 properties.
- Section 8 doesn’t cover security deposits. Security deposits are not paid by the Housing Choice Voucher Program. In addition, the laws are different for Section 8 tenants and how much you’re able to charge for a security deposit. You’ll want to check into your local housing authority for verification. Some landlords waive the deposit completely, but the result is usually not favorable.
- You’ll be required to comply with frequent inspections. Annual health and safety inspections by the Public Housing Authority are required for you to maintain your Section 8 status. As needed inspections are also conducted when there is a complaint by a tenant. An extensive 13-point checklist must be passed for the government to continue your payments. If you’re not in compliance, your tenant can find other suitable housing.
- You might be in for a lot of paperwork. The application and re-certification process for landlords can be tedious. You’ll also find that you must be highly detailed and accurate with all your accounting and documentation. One mistake could be costly.
Do You Need Hard Money to Buy an Investment Property in Atlanta?
If you’re looking for a hard money loan in Atlanta, we may be able to help you.
Call us at 404-814-1644 or contact us online to find out whether you might qualify for this type of funding. In the meantime, check to ensure that you meet our loan criteria. Our loan amounts can be up to 65 percent of the after-repaired value of the collateral—and if you use the loan for renovation or construction, the loan amount can be based on the collateral’s improved value.
Read our frequently asked questions and take a few minutes to learn about the hard money loan process.