I Need Tenants who have Subsidies for Rent
Richmond, CA · Member since 2022 · 5 posts · 21 votes
I Need Tenants who have Subsidies for Rent
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Rental Property Investor · Los Angeles, CA · Member since 2017 · 2k+ posts · 5k+ votes
3ySounds like you're looking for an easy way out. There are no easy ways in this business. Subsidized tenants still don't pay their portion of the rent, they still trash the place, they still break the rules. You need to screen subsidized tenants the same way you'd screen anyone else.
Do you know what S8 rents are in your area? They could be well under market for your level rental. What about inspections? Will your units pass and get approved for S8?
Renting to insurance companies appears to be great. They frequently pay above top dollar. Downside is that the rentals can be short and the insurance company will find you, not the other way around. Unless you're in an area with a recent disaster, you're probably never going to be called by an insurance company for a rental.
Don't look for the easy way out. Learn to screen. Since you're near a college, advertise to students and get their parents to cosign.
Having said all that, you're in California. Learn the laws. They are awful and stacked so against you that if you screw up it will cost you horribly.
9 Replies
- Rental Property Investor · Los Angeles, CA · Member since 2017 · 2k+ posts · 5k+ votes3y
Sounds like you're looking for an easy way out. There are no easy ways in this business. Subsidized tenants still don't pay their portion of the rent, they still trash the place, they still break the rules. You need to screen subsidized tenants the same way you'd screen anyone else.
Do you know what S8 rents are in your area? They could be well under market for your level rental. What about inspections? Will your units pass and get approved for S8?
Renting to insurance companies appears to be great. They frequently pay above top dollar. Downside is that the rentals can be short and the insurance company will find you, not the other way around. Unless you're in an area with a recent disaster, you're probably never going to be called by an insurance company for a rental.
Don't look for the easy way out. Learn to screen. Since you're near a college, advertise to students and get their parents to cosign.
Having said all that, you're in California. Learn the laws. They are awful and stacked so against you that if you screw up it will cost you horribly.
- Real Estate Broker · Cody, WY · Member since 2010 · 28k+ posts · 41k+ votes3y
Quote from @Lakesha Miller:
Section 8 does not guarantee rent. The tenant is still responsible for a portion of the rent. I once had a tenant that was responsible for $25 a month on a $1,100 rental and she was late six months in a row.
Many people on welfare truly need help. Many are just lazy and will feed at the government trough as long as they can, sometimes for decades or generations. If they are too lazy to work and provide for themselves, there is an increased chance they are too lazy to change the air filter, or put trash inside a dumpster, or mop the floors, or obey the law.
Everyone has their own experience. I've had a few dozen Section 8 renters. Despite passing my screening and having the welfare system pay their way, almost half of them left owing money. A few of them left owing thousands. We stopped taking Section 8 because the paperwork is a nightmare, Section 8 typically pays less than market rate, and the tenants are generally bad (violating the lease, not communicating, breaking the law, etc.)
The DIY Landlord Book4.7248 Reviews - Member since 2022 · 4 posts · 1 vote3y
Quote from @Greg M.:
Sounds like you're looking for an easy way out. There are no easy ways in this business. Subsidized tenants still don't pay their portion of the rent, they still trash the place, they still break the rules. You need to screen subsidized tenants the same way you'd screen anyone else.
Do you know what S8 rents are in your area? They could be well under market for your level rental. What about inspections? Will your units pass and get approved for S8?
Renting to insurance companies appears to be great. They frequently pay above top dollar. Downside is that the rentals can be short and the insurance company will find you, not the other way around. Unless you're in an area with a recent disaster, you're probably never going to be called by an insurance company for a rental.
Don't look for the easy way out. Learn to screen. Since you're near a college, advertise to students and get their parents to cosign.
Having said all that, you're in California. Learn the laws. They are awful and stacked so against you that if you screw up it will cost you horribly.
- Member since 2022 · 4 posts · 1 vote3y
Not looking for an easy way out at all… just looking for additional options and sites to advertise my property. Also, I mentioned in my post that I wasn’t interested in section 8. So… Do you know of any other sites/programs where I can list my property?
Thanks
- 3yBruce WoodruffPro MemberContractor/Investor/Consultant · San Diego / Phoenix · Member since 2021 · 12k+ posts · 15k+ votes
As they said^^^ I would stay the heck away from subsidized programs. This automatically means right up front that the tenant cannot stand on their own, I don't know why that is an attractive tenant. Why not go the opposite direction and set your search for higher end tenants (as high as your rental will allow anyway)?
- 3yTim MurphyPro MemberMember since 2020 · 18 posts · 9 votes
Lakesha,
As someone above mentioned, renting to college students with parents as co-signers may be a great way to go! A friend sent their kid to college in Chicago and paid $500 a month for a shared room! The landlord had a multi-page rental agreement that parents signed that included $50/day for any late payment and a hefty up front deposit. It turned out the 6-students living in the 3-bedroom were all great kids who took care of the place. Though the community college in Sac may not get that high a rent, renting by the room (or 2-beds per room) may get you top dollar. Couple that with setting high expectations, meaningful consequences, high entry point and careful screening, you could really make a go of it! Congrats on jumping in and landing a duplex!!
- Rental Property Investor · TN · Member since 2018 · 2k+ posts · 2k+ votes3y
I do not know about your area, but if you check into homeless veteran programs and emergency housing for abuse victims your likely can find subsidized programs. I have been approached by both of theses programs. Problem with both is that I would rent to the agency and THEY choose who goes into the property.
The vets were often homeless and drug addicted. Plus they had horrid cleaning skills.
The abuse victims came with kids that were destructive and they packed a family into each room, including the living room.
I declined both programs after learning about them. At least they were honest.
- Member since 2022 · 1k+ posts · 1k+ votes3y
You want people that are subsidized? Search people that are looking for money on "Go fund me" sites. Maybe you'll find some that hit it big.....Me? I would screen and shoot for the highest qualified tenant I could find. One with a great job. Credit rating off the charts. Especially in California. Get a bum and you've had it. Landlords should be leaving California, not investing in it. my 2 cents.
- Member since 2022 · 4 posts · 1 vote3y
Looking for sites…. Would you have any? How about some tips instead of criticism Quote from @Henry T.:
You want people that are subsidized? Search people that are looking for money on "Go fund me" sites. Maybe you'll find some that hit it big.....Me? I would screen and shoot for the highest qualified tenant I could find. One with a great job. Credit rating off the charts. Especially in California. Get a bum and you've had it. Landlords should be leaving California, not investing in it. my 2 cents.
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