Section 8 Duplex is below HUD's FMR

[Bryce Rodgers]

I am looking at a Section 8 property that is currently renting for way less than what HUD says the FMR is for the property. The leases do not ended until the beginning of 2020. Does anyone have any experience or information how I could increase the rent to the FMR before those leases are up or if I would have to wait until the end of the lease? I do not own any Section 8 properties, but am learning the basics. Would love any valuable information you guys might have.

[Brandon Sturgill]

@Bryce Rodgers FMR is merely a guideline...it's not what HUD actually pays. They do an assessment of the property and weigh it against comparable units in the community...then set the rental rate...you can have this base rate increased significantly if you want to include utilities in the rent....but then your tenants will likely be washing all their friends cars for free in the back yard, leaving you with a $2k water bill...

You are bound by the terms of the lease for the duration of the lease. You'll need to work directly with the local metropolitan housing authority (MHA)...they administer vouchers...this is often at the county level, but may be city level in some areas. Call them and explain what you're up to...they'll help guide you.

Best of luck