Out of State Rental Issue! *Section 8

[Justin Youngblood]

I purchased a long term rental property in Jackson MS through a turnkey company a few years ago and I’m needing some advice on how to navigate an issue.

Up until last year things had been running very smoothly with no issues. Things began to go south when the original tenant moved out in the summer of 2023.

In December of 23' the property was inspected by HUD and approved to be a section 8 property. This was after a long delay in even getting someone from HUD out to inspect it. ** this is my first section 8 experience. A lease was signed on 1/4/24 but no payments have been made by HUD yet this year. I have never visited the property and I have a PM in place. I have to stay on top of the PM about communication with me and there's even been months where they haven't sent me a statement. The PM is stating that HUD dept was not responding to their inquiries for updates and payment information. Finally on 4/2/24 the PM got an update from HUD (the document was dated 3/22) that HUD was only going to pay $3 of the $1025 rent and the tenant was responsible for the remaining amount. I find it backwards that they would place a tenant before verifying what amount that HUD would pay. I can't help but feel like I'm getting taken advantage of by the PM.

I'm not sure how to move forward. I haven't been paid rent in months and this tenant is not going to be able to afford this property now so an eviction could be next. The tenant is telling the PM that HUD was approving based on old income and they are going to have it readjusted. Any advice on how to move forward? Should I consult an attorney and if so where would I start?