SECTION 8 HAS APPEAL FOR LANDLORDSPARTICIPATION IN RENT SUBSIDY PROGRAM BECOMES MORE ATTRACTIVE AMID RISE IN VACANCIES, DECLINE IN RENTS IN COUNTY
Property owners with one or more housing rental units are noticing a
softened market these days, with vacancies up and rents declining.
''It's a situation that makes it all the more desirable to consider Section
8 tenants,'' said Carol Turner, the leased housing manager for Sonoma County
Housing Authority.
What distinguishes a Section 8 rent agreement from any other, Turner
explained, is that the landlord receives two monthly checks, one from the
Housing Authority and one from the tenant. Rent increases are absorbed by the
Housing Authority.
''Positive changes in the laws have made the Section 8 program more
flexible and in line with the private rental market,'' Turner said.
Ed Troy, a San Rafael man who owns 19 residential rental units in Sonoma
County -- 12 of which are occupied by Section 8 tenants -- said he has been
renting to Section 8 tenants about 15 years.
''I'd like to say that we're getting a better class of tenant in the
program now,'' Troy said, ''but then I have to remember that I've had some
very good Section 8 tenants over the years.''
Under the Section 8 Voucher Program, also known as the Section 8 Rent
Assistance Program, the Sonoma County Housing Authority assists more than
2,500 households and mails more than $1 million in rent payments each month to
more than 1,500 property owners and management companies.
''So,'' Turner said, ''in addition to assisting participating households,
this program is a significant economic boost to the local economy.''
Under the program, the housing subsidy does not change the landlord-tenant
relationship. Property owners retain the same legal rights they have in the
private rental market, and tenants have the same responsibilities as those
renters who do not qualify for a Section 8 subsidy.
With the new laws, landlords now screen and select their own tenants, use
their own written agreement and decide the term of the tenancy, which may be
as short as one month or as long as 12 months. Rents are no longer determined
by HUD (the Department of Housing and Urban Development) but are based on the
market rate.
The cap on security deposits has been lifted, so landlords now may collect
the state-authorized amount of twice the monthly rent for unfurnished units
and three times the monthly rent for furnished units.
Termination of tenants is easier now, and participation in the program is
strictly voluntary.
''The Housing Authority inspects the property before the tenant moves in
and again on an annual basis,'' Troy said. ''I've found the inspections to be
fair, and I've always appreciated it when they've pointed out maintenance and
repairs that need to be done. It saves me having to do the inspection
myself.''
Additionally, the inspections focus on the tenant's care of the property
and may require the occupants to haul away trash or take other steps to
improve their own living conditions. Failure to comply can result in loss of
the subsidy, so the inspections are a strong backup for a landlord's
admonitions to tenants.
''If there's ever a problem,'' Troy said, ''all I have to do is call the
Housing Authority and they take care of it. They always do follow-ups after
the inspections, and they respond promptly to complaints.''
''There are lots of myths about Section 8 housing,'' Turner said, ''and I
think they keep many property owners from even considering the program.''
One of the myths, she said, is that participation is a permanent commitment
of some or all of the landlord's units. In truth, participation is strictly
voluntary and can be done on a by-unit, by-tenant basis.
Another myth is that it's difficult to evict a Section 8 tenant. In truth,
Turner said, ''Section 8 tenants are expected to act responsibly. If they
damage the property, they can be terminated from the program and evicted from
the property with a 30-day notice.''
Many participants in the Section 8 program are veterans. Seniors make up 23
percent of Section 8 households, families with young children account for 41,
and persons with disabilities comprise 30 percent. The rest are working
families whose income is insufficient to keep pace with rising rental costs.
The bane of every landlord's existence is the late or non-existent rent
check. But under the Section 8 program, the portion paid by the Housing
Authority (more than half of the rent) arrives every month like clockwork. The
remaining amount is equal to only 30 percent of the tenant's income and is
within the tenant's ability to pay or the household would not have been
approved for the program.
''I think Section 8 is a wonderful program,'' Troy said. ''It's a godsend
to tenants and it's good for landlords because rent is guaranteed.''
You can reach Staff Writer Sheri Graves at 527-9078 or
sgraves@pressdemocrat.com.
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