Increasing rent on Housing/ Section 8

[Gerino Alejos]

I am working with an investor who is purchasing a 14plex that has 4 units under housing/ section 8. After completing purchase my client will increase rent on all 14 units. Is he legally able to do that on the housing/section 8 units... does anybody have experience on this? what kind of hurdles and challenges will he face? if any. Thank in advance. 

[Michael Ealy]

Originally posted by @Gerino Alejos:

I am working with an investor who is purchasing a 14plex that has 4 units under housing/ section 8. After completing purchase my client will increase rent on all 14 units. Is he legally able to do that on the housing/section 8 units... does anybody have experience on this? what kind of hurdles and challenges will he face? if any. Thank in advance. 

 He can request for rent increases from section 8 in your city and, if approved, it will become effective once the leases expire. If your section 8 housing authority is the same as what we have here in Cincinnati, my guess is you can ask for rent increase once a year (if he missed the deadline, he might need to wait until next year). Moreover, part of the approval process, section 8 will likely ask for an inspection to see if the units and the building are compliant with section 8 requirements.

Hope that helps. I have about 500 units under the section 8 voucher program.