Section 8 Rent below FMR

[Winfield E Aukamp]

Hi all,

First time posting here and looking for some help. I'm looking at a deal for a 2 unit. One of the units is a Section 8 voucher apartment, but the rent is $675 vs the FMR rate for the area of over $1k.

Are there any reasons that I wouldn't be able to raise the rent to at least near the FMR rate next time the lease renews? I'm assuming that the tenant's payment wouldn't change because it's based on income, and only the government payment would change?

Any references or information would be greatly appreciated! Thanks!

[Nzinga Young]

Yes, like @Anna Sagatelova said, the FMR is the maximum possible rent. My max FMR in NJ automatically drops about 10% since I don't pay for my tenant's utilities. It seems like you have to have an impeccable home in a desirable area with utilities included to get the full amount. I don't personally know anyone getting max FMR rent from any of their Sec 8 tenants, but I'm sure it happens.