what are the pros and cons of accepting HUD tenants?
And does going into a recession affect this?
[{"id": "j294b72", "text": "This isn't really a CRE question, but I'll answer anyway:\n\nStable rents, because they're paid directly and subsidized by the government. Section 8 also pays 110% of fair market rent.\n\nDownside is the tenants are not financially strong in their own right, so you'll need to screen extremely well, have hands-on management, and bite the bullet early if problems arise with a renter.\n\nSection 8, in my experience in St Louis, works best when you have a portfolio of small multis. 4-6 units maximum in a complex. This is because it's easier to figure out if a tenant is allowing too many people to live in the unit. Good section 8 tenants are golden, bad ones can be a disaster.", "replies": [], "depth": 1}]