I've been looking to dive into the section 8 niche.

The neighborhood I'm looking in is a pretty rough, which is why homes are so cheap, but the opportunity is there to provide clean, safe, and affordable housing for a Section 8 voucher holder.

., several missing railing spindles, a fist-sized hole in one wall, and new carpet for a small section of the living room).

I have another subto student i'm partnered with and we're buying straight off the MLS for section 8 housing.

The example you give and I have to believe with those facts the GPs are boxed into a corner IE they need to keep raising money or selling guru plans so they have cash flow since their LPS are leaking oil so badly. 

Is this an internal property management company that is compensated on keeping costs low, tenants ( 400 SFR's ) happy so that they stay and pay their section 8?

Got my first single-family rental purchased earlier this year and now I’m on to my next property which will be a section 8 partnership purchase with my sister and business partner.

If there is a net profit AFTER the Section 120 exclusion then you will pay tax.

If you want proof of this, look at every Section 8 waiting list in the areas you are considering.

(I have no stake in this other than I just read this section in the book, and this is not some kind of marketing ploy by me.)