Which means that they pay you a down payment and you finance the properties to them.

After 6 months of non-payment, we were able to perform an eviction for this tenant.

She put a portion of the down payment (15K)...and of course there is a little equity...

For some buyers it would end up being less than a 2.5-3% commish, and for others more.The tricky part for the buyer is it would have to come out of their pocket in addition to the down payment, whereas a commission paid by the seller at closing is included in the purchase price and absorbed into their loan (usually unless paying cash obviously) so the buyer only has to make the down payment out of pocket.

I've never heard of a lender that wouldn't count Section 8 payments as income.

Quote from @Theresa Harris: For late payments, how late are they? 

There's no reason to provide details, though I do let people know if anyone asks that we do not accept bulk up-front rent payments or anything like that because I absolutely do not want a prospective tenant to think that someone else swooped in with a bunch of cash last minute.

Whether you’re dealing with non-payment of rent or other lease violations, this resource explains what landlords need to know to remain compliant and protect their investment. 

Just make sure to run the numbers with the HELOC payment and the rent, so that you are not underwater every month.

House hacking is an excellent strategy, especially with the potential to use an FHA loan to secure a property with a low down payment.