like buying a 1st position note, but you're buying it from the government? 

Once you have a seller that has agreed to provide owner financing, then, as other commenters have stated, it's pretty much just a promissory note (which governs terms of the loan and creates obligation to repay) and mortgage (which secures the loan against the property).  

If the tenants don't get subsidies, why is it a government funded program? 

Are you checking government issued photo ID to protect yourself against ID theft? 

Hello Jeff MHA stands for Memphis Housing Authority (Section 8 government-subsidized rent).

It's a government insured mortgage.

We own and manage around 200 units in Yonkers, we're very familiar with Section 8 and other government assistance programs.   

Remember there are multiple levels of government oversight so local laws/ordinances my be trumped by state or federal laws as well. 

Learn the laws that govern landlord-tenant relations in your area well.

It's a little frustrating that they paid all their lives to support others on medicaid and other government programs and now they cannot reap any benefit themselves unless they lose virtually everything they have.Any thoughts?