Will Section 8 go broke in the future??

[Chris Da]

Hello all. WOW 2 post in one night. Anyway...

I have recently been very interested again in pushing my real estate ventures to the next level. I have in my opinion done well with my current rentals, but now feel I need more.BUT...I am concerned about Section 8.
Let me explain. I like Section 8 tenats, and they have done well by me (don't get me wrong, I have had some bad apples) but I really have nailed down how to screen them and I have become half animal as well, meaning they know not to break the rules, as I don't play by the typical landlord rules. Sometimes you have to sink to others peoples levels to let them know you mean business.
Anyway the way I see it (and this is just for myself in my area) is that example...I have 1 house that the mortgage w/taxes/insurance is $800mth. I could rent it to a regular family for about $1000mth..But I rent it to a 5br Sect 8 for $1722mth. I like this lady, and I am good to her, as I want her money. Point is this, so I am making an extre $722 month with section8, but if Section 8 were to go away, so would my great profits. I have another duplex. Mortgage wtaxes/insureance is $675. Upstairs and downstairs are 2 br. Normal in this area I could rent it for $675mth, but Section 8 gives me $795 for a 1br voucher, so I take it..Thats $1590 mth. I have another mortgage $900mth/tax insurance included both units pay me $992 month. Normal rent is about 675 and 800.
That is just a few, but in my opinion if you can screen Section 8 tenants well, and you put the fear of God in them that you can go from a really nice guy to Hannibal Lecter in point 2 seconds so faar so good.
What I worry about is what many worry about I would think that the gravy train could run out. I dunno.
If they started to do away with Section 8, where would these people like? How would they live? I figure they pay higher rents because most landlords don't want them because of the reputation,so in turn they pay more to compensate.
Just wondering if anyone else had an opinion on this. Hope fully Jon will chimein, as I like his opinions. Thanks all!!

[William Coats]

Wasteful government spending go away??? Doubt it...at least not anytime soon...You are a property owner so I am sure you pay tons of $ every year on property taxes, income taxes etc. so in a sense you are funding the wasteful section 8 system...One thing that could possibly trigger the government into making a change to this program would be posts in which an investor touts that he is making twice the market rate of rent and referring to the program as a "gravy train" (just giving you a hard time)...I think what you meant to say was that it is a vital government program that helps the community and that you could charge more rent but you don't because you only want to make a modest income...