Have you been thinking about renting your property to a Section 8 Voucher Tenant? If you answered Yes, you probably know that there are many different types of tenants with different sources of income. Most people are employed and work for a living. However, there are people who due to circumstances may have a different source of income such as, Section 8 vouchers, BHRP Vouchers, SSI (Supplemental Security Insurance), and SSDI (Social Security Disability Insurance), just to name a few.
Today, I’m going to give you 3 great reasons to rent your home to a Section 8 voucher tenant also known as a Section 8 voucher holder. Fortunately, you can apply these reasons to all permanent housing voucher programs.
Guaranteed Rent Each Month
The biggest risk associated with property rentals are non-paying tenants. Landlords can lose thousands of dollars trying to evict a tenant from a rental property. Consequently, once the tenant is out of the home, the landlord loses again because the property must be cleaned and repaired. That will cost more money, and ultimately leads to more losses. Therefore, the hugest benefit that a Section 8 voucher holder can guarantee is cold hard cash in your bank account each month. And the great thing about government checks is that the money always arrives on time, and the check always clears.
Minimize Financial Risk/Loss
The easiest way to minimize your financial risk and any potential financial loss is to rent your property to a Section 8 tenant. The Section 8 voucher will cover most of the rent. The voucher holder is responsible for a small portion of the rent. The tenant’s portion is based on their income, specifically 30% of their income. So, if the Section 8 voucher holder receives $1,000 per month in household income, the tenant’s rent is $300 per month.
Therefore, there is some risk involved. However, it’s greatly minimized when you can depend on the housing department and local government to pay the largest portion of the rent.
Peace of Mind
Managing and owning rental properties can be stressful. And anyone who has ever had a non-paying tenant can attest to that. It can cause great stress in your life and can even strain your personal and business relationships. Therefore, it is no small matter.
That is why, peace of mind is listed last, but not its value is not least. In fact, its invaluable. Renting to a Section 8 tenant can help you move towards peace of mind. At least concerning rent collections and property management. Just keep in mind, renting to a Section 8 tenant is in no way different than renting to a tenant who is employed and does not have a voucher. However, you have an added benefit of knowing without a doubt each month that you will receive a check from your local government’s housing department.
Finding paying tenants is the hardest part of property management and owning rental properties. However, renting your home to a section 8 voucher holder can greatly affect your finances, and your state of mind. If you are interested in renting your property in Baltimore to a Section 8 tenant, we can help you. Contact us at The Baltimore Tenant today at 410-994-6159.