Section 8 Rents

[Cole Agnew]

To preface a tiny bit, I own a rental property already but have been considering buying another property and leasing to sec 8 subsidized tenants. Upon my research I have got lots of conflicting information, even from “gurus” swearing by conflicting information. 

For example, payment standard for a 3 bed house is about $1,475 (coming from landlord packet provided by county HUD). After taking off about $200/mo from rent for tenant paid utilities and such that brings the number to around $1,275. Now, some will say that this is what you can charge, and section 8 will pay. On the other hand, some say that the local HUD will run comps and say that you cannot charge that much (market rate for that bedroom count / area is probably closer to $1,000). Can anybody that has experience shed some light?

If anyone rents to section 8 in Lubbock, TX I would love to talk more!!!