is section 8 worth the $$$

[Jennifer V.]

Im looking at a 4 plex in new orleans, 200K purchase price, current rents are 800 per unit, section 8 potential at 1K per unit....obviously this is lower income...not sure if its worth investing in, the numbers are good but i just cant get past the neighborhood, its not the worst of the worst but i would definatley hire a management company...anyone have good or bad experience with lower income section 8?

[Ralph S.]

I'd be careful. They don't just automatically pay the max. You'll be asked to justify any rent you ask and provide at least a stipulation that you're charging your "normal" rate. If the others are at $800..... :roll: