But it is a challenge, particularly when transparency is hard to come by at best of times anyway.

@Maria JeanetteRenting to tenants in assisted housing programs, like Section 8, can have both advantages and challenges. - Consistent Payments: The rent portion covered by the housing program is guaranteed and paid on time, reducing the risk of late payments.- Large Tenant Pool: Housing programs often have waiting lists, so demand is high.

See the chart from Fair Isaac Company (FICO) below: FICO Score Pct of Population Default Probability 800 or more 13.00% 1.00% 750-799 27.00% 1.00% 700-749 18.00% 4.40% 650-699 15.00% 8.90% 600-649 12.00% 15.80% 550-599 8.00% 22.50% 500-549 5.00% 28.40% Less than 499 2.00% 41.00% Source: Fair Isaac CompanyAccording to this chart, investors should use corresponding vacancy+tenant-nonperformance factors of approximately 5% for Class A rentals, 10% for Class B and 20% for Class C.To address Class C payment challenges, many industry "experts" are now selling programs to newbie investors about how Section 8 tenants are the cure.

The market there has been exceptional for me, but not without its challenges.

What are the biggest challenges people have faced with this.

Managing a property can be incredibly rewarding, but it does come with its fair share of challenges—especially with the recent shifts in Rhode Island legislation.In 2024 alone, 39 bills were introduced, and seven significant ones passed, including extended rental terms, mandatory fee disclosures, and other updates that every landlord should have on their radar.

This concept aims at addressing the challenges of what to do with defunct suburban malls and maybe even empty big-box retail store spaces that are in desirable and affordable neighborhoods.

A potential challenge with a HELOCs is they are based on the current appraised value of your home, not the improved value, so you would need to make sure you have enough accessible equity.

Challenges?

Knowing the rent will likely show up each month—even if the tenant has challenges—removes a lot of the uncertainty that can come with rentals.The people listing this apartment as a “Section 8 property” are likely trying to target buyers who value that stability.