Out of state section 8 portfolio deal

[Douglas Lee]

I came across an investor, who wants to sell a portion of his portfolio to raise capital for a project he wants to build. The portfolio contains a handful of Section 8 SFRs that offers good cash flow. The properties are in good condition and they come with long-term tenants. Some of the properties are in rough neighborhoods. The investor is looking to structure an above than market selling price to create room for a low down payment from me. As an out-of-state cash flow investor looking for good cashflow and to build a portfolio, what are some of the blind spots I should watch out for assuming the guaranteed incomes from Section 8?  Thanks.