What is Go Section 8 and How Does it Work
Housing is one of the biggest expenses for a family. Home purchases are often the largest purchase that a person makes in their lifetime. For some people, even looking at property listings seems overwhelming due to financial disability.
To make housing more accessible, the federal government offers a housing assistance program. The housing choice voucher program is for low-income families, the elderly, and the disabled. Because housing assistance is on the behalf of the family, participants find their housing.
The housing must meet certain requirements and is not limited to apartments or subsidized housing projects. This program has provided safe and sanitary housing to millions across the country.
The vouchers are distributed through the local public housing agencies. They receive limited funds from the United States Department of Housing and Urban Development. To be eligible, the local public housing authority bases your application on total annual gross income and family size. You must be a United States citizen or a specified category of a non-citizen.
Although specifications vary, usually a family’s income must not exceed 50% of the median income of the area. 75% of the vouchers are reserved for those who make under 30% of the annual median income. By visiting your local housing authority webpage, you can find out the specific qualifications for your area.
When applying, the public housing authority collects information on income, assets, and family composition. After verifying with employers and the bank, they use the information to determine eligibility and the amount they are going to provide the family. Once they determine eligibility, the family is put on a waiting list. They are contacted by the public housing authority to issue the voucher and get them into a home as soon as possible.
Once the family obtains the voucher, they are responsible for finding rental properties that are compliant with all regulations and then choosing one. The owner must agree to rent under the program, and this could be a home that the family is already renters in. The owner is paid directly from the public housing authority, so that’s why it is important they are on board.
The voucher holder then pays the difference between rent and what the voucher covers. By using an enhanced program, families have been able to purchase modest homes with the voucher. Eligible homes can be in apartment units, single-family homes, rental units, private homes, duplexes, townhomes, or within a housing subsidy.
What is the Difference Between HUD and Section 8
HUD is an acronym for the U.S. Department of Housing and Urban Development. HUD owns multiple buildings that provide shelter for families in need. The key difference is that section 8 allows the family to choose where they are going to live rather than having designated areas. One thing to remember is that with section 8, the family is usually responsible for extra housing costs, like utilities.
What are the Pros and Cons of Section 8 Housing
There are many benefits to accepting section 8 housing. For one, your section 8 finances should never be late because it comes from the government. A benefit for a landlord is that tenants must follow all terms of their lease to be eligible. The housing authority also conducts routine visits to the home to ensure that the tenant is treating the property appropriately. The financial aid itself helps many people get back on their feet.
There are a few cons that people warn about when accepting section 8 housing. For a landlord to rent to a family using section 8, they must inspect the property and meet all conditions that are established. While most of these are basic needs, such as a window in every room, it can feel invasive to have your property inspected.
Once the inspection is cleared, the tenant may be allowed to live there. If the tenant allows the home to fall into disrepair, then it is a problem for the landlord as well as the housing authority. This can result in being dropped from the section 8 program with no further aid due to federal law.
Another con that can affect families is the unpredictability of the housing voucher program. Even though a tenant complies, there is no guarantee they will get the voucher every single year. If they leave a landlord with a tenant who can’t pay rent, that could be bad.
The number one con that comes up is the amount of care that tenants put into the properties. Research has shown that section 8 tenants cause more damage to properties through garbage and junk buildup.
Professionals have speculated that it could be a correlation between low-income tenants and cleanliness or because they don’t feel as responsible for the property since they don’t pay a lot for it. Regardless of the actual reason, a downfall of renting section 8 is unpredictability.
For any questions or complaints regarding HUD rental programs or Go Section 8 vouchers, potential housing choice voucher tenants may call the free helpline toll-free at (800) 955-2232.
Other Articles of Interest
- Real Estate Owned: Everything You Need To Know About REO’s In 2020
- The Truth About Real Estate: Understanding Foreclosures In 2020
- FHA Loan Requirements And Minimum Property Standards for Lending
- What Are Real Estate Purchase Agreements, Home Buying Contracts, and Inspection Contingencies
- Modular Homes in the 21st Century – A Great Value for Your Dollar