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A landlord is responsible for following the law. If a landlord is renting to Section 8 tenants, the landlord must still follow the statewide landlord-tenant law but must also follow additional rules placed on them by the Section 8 program.
When you rent to a Section 8 tenant, you will have to deal with frequent inspections of your property. Your local Public Housing Authority will send a Section 8 inspector to your property once a year. This inspection must be done even if there has been no tenant turnover.
Are you Required to Accept Section 8 Tenants?
Some landlords rent to Section 8 tenants by choice, and others do not have a choice. Certain states, such as Massachusetts, require that all landlords accept Section 8 tenants. You need to know if this is a requirement in your state so that you are not accused of violating the law if you refuse to rent to tenants with these vouchers.
Section 8 Tenant Applications
Although some states do require that landlords accept Section 8 tenants, a landlord does not have to accept every Section 8 tenant. A Section 8 tenant is still subject to the same qualifying standards as non-Section 8 tenants. The Section 8 office conducts a very basic background check on all Section 8 applicants.
Their screening focuses on a tenant’s income level, which will not be the biggest concern for you, as most of the rent will be paid by the Public Housing Agency. A landlord should always conduct the same background and credit check on Section 8 tenants that they conduct on non-Section 8 tenants. These checks help you uncover issues, such as a criminal history or a history of frequent moving.
Section 8 Housing Approval
A Section 8 tenant cannot live in your property until your property is approved by the Section 8 office. The first step in this approval process is to submit a Request for Approval of the Tenancy Form. A sample form can be viewed on the HUD website. The form requests basic information including:
1. The Address of the Property
2. Anticipated Lease Start Date
3. Proposed Rent
4. Included Utilities
5. The form must be signed and dated by both you and the tenant.
6. Pass Housing Quality Standards Inspection/Pass Yearly Inspections
The Request for Approval Form is the first step in getting your property approved for a Section 8 tenant. The real test is the Housing Quality Inspection. This inspection will determine if your unit meets the minimum housing standards set by HUD and by the local public housing authority. If the unit does not comply with any item on their list of performance standards, the problem must be fixed within a set time frame. The unit must then be re-inspected before it can be approved for a Section 8 move-in.
Section 8 will perform an inspection once a year, usually when the tenant’s lease is up for renewal. Even if the unit has passed the first Section 8 inspection, it must pass this yearly inspection for the tenant to continue living in the property. If any items fail the inspection, they must be remedied, or the housing authority may declare that the unit is unfit for the Section 8 tenant.
The inspector is making sure your unit meets HUD’s Housing Quality Standards. There are 13 areas the inspector will look at to determine if the unit meets HUD’s safety and health standards. These areas include sanitary system, lead-based paint, water supply, electrical and smoke detectors.
The Section 8 program has very strict standards, so it is not unusual to fail a Section 8 inspection. If you do fail the inspection, you will be given a list of items that need to be fixed. Once you fix all items on the list, you can schedule a re-inspection with the Section 8 office. They will once again send the inspector to determine if all issues have been fixed
Security Deposit and Rent.
Section 8 pays most of the tenant’s rent, but it does not pay all of it. Section 8 does not pay a tenant’s security deposit. The landlord is responsible for collecting this deposit directly from the tenant or from another agency which has agreed to pay the deposit for the tenant.
Also, the tenant may be responsible for paying a portion of the monthly rent. The amount they will pay will depend on their income. For example, if the rent is $1000 a month, the tenant may be responsible for paying $50. This portion must be paid directly to you by the tenant, so it is your responsibility to make sure you receive it.