Organizational Delays: Section 8 offices are often overworked and understaffed, leading to slow processing times for new tenants, delayed rent increase approvals, and poor responsiveness.Benefits of Section 8:1.Long-Term Tenants: When you get a good tenant, they usually stay for a long time because of the tedious process required to qualify for Section 8 housing.2.Consistent Income: If Section 8 covers most or all of the rent, you typically receive reliable monthly payments, reducing the risk of non-payment (as long as there isn’t a large tenant portion).3.Lower Barrier to Entry: Because properties in these areas are often more affordable, it’s a good way for new investors to break into real estate without needing a large amount of capital.Overall, I’ve seen the good and the bad of this strategy.

Some areas have higher crime rates and lower tenant quality, which can lead to more management headaches and higher vacancy rates.

But that also means you’re generating almost zero appreciation and barely better than bank CD returns.

It would definitely be fraud if this was the case, a recent post from an auctioneer talked about this exact situation, where they said the auctioneer was liable (different bedrooms/type of home example you don't have to read it) States would differ though and it doesn't seem black and white. https://mikebrandlyauctioneer.wordpress.com/2022/07/12/no-li...I do agree with you that it could very well lead to being burnt, however.

Others rely on networking... hooking up with probate or divorce attorneys who sometimes have leads on properties that aren’t widely marketed.If you decide to hire a property manager in the Jasper area, maybe chat with a few owners who’ve used them.

For $50,000 you can have a turnkey low-income Section 8 rental property that generates $7,500/year in NOI.

-A water heater issue resulted in repeated mismanagement—confusing unit assignments—leading to extra costs to fix the same issue 3 times and on each occasion "more fixes" needed to the water heaters that I plumber said was needed.

I’ve been working probate leads here in San Diego for some time and your words are right on point…lot of time for sometimes little to no return. 

What leads to the highest repair cost? 

Changes to local landlord/tenant laws and new situations involving tenants lead to these annual updates.