Disputing Affordable/Section 8 Rent

[Michael Masterson]

Hi Everyone, 

I just recently put an offer on a duplex in Cleveland area and one of the units is classified as affordable/section 8. I purchased with the intent of honoring the current contract and not renewing next year, renovating once vacant and driving the rent up. 

However looking on the CMHA (Cleveland Metropolitan Housing Authority) website it appears that a 2bed 1 bath unit actually should be paying $250ish more than what the current owner is receiving, and would be right in line with the rent I assume to receive post renovation. 

I purchased the property being content with the current monthly rental income; however of course I would take any additional cashflow-especially if its "free" money and if I can avoid having to do any major or high-end renovations and find new tenants next year. 

Has anyone come across this scenario? Do you have any guidance on what I may be able to do with the current contract or what approach I should take to increase the rents at the next renewal? The current contract is through May 2019 so I assume I'm stuck receiving that monthly amount till then but I'd like to be way ahead of the game at renewal so I know what needs to be done to either increase with CMHA or decline my renewal. 

[Brian Garlington]

@Patti Robertson

Thanks so much Patti!!!!!!!!!!!!  That is awesome info.