I personally own properties with Section 8 renters. We like it because a significant portion of the income is guaranteed and, in many cases, the rents are higher. To qualify for Section 8 renters, your home has to pass specific an inspection â€“ here is an example of the inspection check list:
A good property manage can:
(1) Oversee the entire Section 8 certification process
(2) Provide a screening for applicants
(3) Collect rents
(4) Handle maintenance issues as they arise
(5) Handle evictions, if necessary.
We use a property management company for all our rentals â€“ I wouldnâ€™t do it any other way.
Personally, I would use a property manager because I don't want to spend my time dealing with all of that stuff. In fact, I refer out property managers all the time. The other positive thing about hiring a property manager is you limit your liability. There is a lot of liability that comes with renting out property and if you're hiring a professional to do it (and paying them for that service), they take on much of the liability.
Section 8 also has its pros and cons. I have a number of clients who own multiple investment properties and in general, they like section 8. The majority of their rent comes straight from the government. The down side is they often have to go to the house to follow up on/collect the rent and many times the tenants are late with payment or don't have it. Just like anything, there are ups and downs.
Shoot me an email if you want the names of a few good property managers.
Aaron Brown - The Grubb Company.
You don't have to sell, especially when the market is in the up and up. Not all prooperty manager;s charge 50% of your rental income. At Wells and Bennett we offer reliablilty and quality for each of the properties we manage---we are hand pick the properties we want to represent. But we offer great service. We have experience with section 8 as well. And the only hoops to jump is actaully picking up the phone and giving us a call. That's it. We can take care of the rest and let you know what we offer for no hassle and easy management or leasing or both. Feel free to give me a direct call and I will assist you with any and all questions.
On craigslist, many property managers advertise their vacancies. The way by which they promote their listings may give you some idea of how they market. Or at least it gives you an idea of whom to call to interview for the job of managing your property. You can also ask them for ideas on how much rent you can get.
if you won't get enough rent to pay your mortgage.....and if you are upside down on your loan...what other option do you have? Have you tried loan modification?
As for Section 8 tenants, as Carl said, rent payment is guaranteed. That's one less headache for you.
I'm sorry to hear about your troubles. There are a number of good property management companies around. If it makes sense financially I agree with Aaron that this is a good way to go. Put the onus of selecting tenants on them, whether its section 8 or not. If you decide to rent it out yourself plese spend a lot of time and energy screening for good tenants, you'll be happy you did. Best of luck to you.
Red Oak Realty