I love it for the guaranteed rent, tenant stability, additional accountability with the housing authority and large demand for Section 8 housing without enough supply.With strong screening, I'm able to find great tenants and Im not owed any rent.Cons you will often hear is that the tenants are harder on your properties (doesnt have to be the case in my experience if you screen really well), the Housing Authority is a pain to deal with (this depends on a couple things - how well run your local PHA is and how good you are at handling process & details) and the extra inspections/red tape make the niche unprofitable (see what I said above about Housing Authorities).Done right, I believe Section 8 is one of the most stable & profitable. 

I will say there are a FEW wholesale lenders that are a pain to work with but it comes back to the rep not knowing or the lender taking their sweet time to review a file.

Those all seem to be common pain points for owners.

In other words, if there was a broken leg on your property that resulted in $250,000 in medical, lost wages, and pain & suffering, if there was gross negligence on your part, the total judgement could be $1.25 million, and worse, your insurance company could deny it.So what constitutes gross negligence? 

Just painful to think about.

Is there a way to pass along the cost to tenants who have chronic problems with causing smoke by burning their food etc.?

examples:Baltimore - a path to never-ending pain (biggerpockets.com)Experience of OOS investing in Cleveland after 1.5 years.

Sorry I know this one is going to be painful for many rookie investors just getting started who want to live on the beach with their mail order cash, but this is not they way investing works. 

Removing tenants is a serious pain in New Jersey - though I realize those specific deals may be rehab and profit opportunities.

I do not like this as obviously if a business account is only accumulating rent from 1 property, it wouldn't accrue the cash in each as quickly as it would if all of the rents were funneled into one account.. and it makes paying the bills a bit of a pain on each of the properties as I am having things done to the properties, lawn care, etc.. constantly has me making owner investment deposits into each to cover initial expenses associated with the properties.. etc.