Why Section 8 Tenants Are Good for Landlords

If you're a landlord in NYC who has been hesitant about accepting Section 8 vouchers, you're not alone. Many landlords operate on assumptions about voucher holders that don't hold up when you look at the actual data and experience of landlords who work with the program. The reality is that Section 8 tenants often make excellent tenants, and there are concrete business reasons to consider accepting vouchers beyond just doing the right thing.

Here's the case for why Section 8 tenants deserve a second look.

Guaranteed Rent (At Least 70% of It)

The most compelling argument for accepting Section 8 is that a substantial portion of the rent is guaranteed by the government. The Housing Authority pays its share directly to you via direct deposit or check, on time, every month. This isn't a promise from an individual tenant who might lose their job or have unexpected expenses. It's a payment backed by federal funding.

For most Section 8 tenants, the Housing Authority pays somewhere between 70-100% of the rent, depending on the tenant's income. If the tenant's income decreases, the Housing Authority adjusts their share upward so you continue receiving the full rent amount. This built-in protection against income fluctuations is something you don't get with market-rate tenants.

Yes, tenants are still responsible for their portion (typically around 30% of their income), and you'll need to collect that yourself. But having the majority of rent guaranteed removes much of the financial risk that keeps landlords up at night.

Longer Tenancies, Lower Turnover

According to HUD research, Section 8 voucher holders stay in their units an average of 6.6 years, compared to 2-3 years for typical market-rate renters. Some studies show even longer average tenancies of 7-8 years.

Why do they stay so long? Because voucher holders know how hard it is to find landlords who accept Section 8. They waited years on a waitlist to get their voucher in the first place. Once they find housing, they have every incentive to stay put, follow the rules, and maintain a good relationship with their landlord. Losing their voucher would mean starting over, and many voucher holders treat their housing stability as something to protect.

For you as a landlord, longer tenancies mean lower turnover costs. Every time a tenant moves out, you face vacancy loss, cleaning and repair costs, marketing expenses, and the time investment of showing the unit and screening new applicants. A tenant who stays 6+ years dramatically reduces these costs compared to turning over every 2-3 years.

Pre-Screened Tenants

Before someone receives a Section 8 voucher, the Housing Authority has already screened them. This includes income verification, background checks, and ensuring they meet program eligibility requirements. While this doesn't replace your own screening process (and you should still screen Section 8 applicants the same way you screen everyone else), it does provide an additional layer of vetting.

You retain the right to apply your standard screening criteria: credit checks, rental history verification, reference checks, and background screening. Source of income discrimination laws in NYC prevent you from rejecting someone solely because they have a voucher, but they don't prevent you from applying legitimate, non-discriminatory screening criteria consistently to all applicants.

Tenants Have Something to Lose

Section 8 tenants who violate their lease terms or cause problems risk losing their voucher. Given the years-long waitlists to get into the program, this is a significant consequence. A tenant who is evicted from a Section 8 unit may be terminated from the program entirely, making it extremely difficult to get housing assistance again.

This creates a built-in incentive for Section 8 tenants to be good tenants. They follow lease terms, maintain the property reasonably, and avoid behaviors that could jeopardize their housing stability. The program itself provides accountability that market-rate tenants don't necessarily have.

Free Marketing and Tenant Pipeline

When you accept Section 8, your property becomes visible to a large pool of motivated tenants who are actively searching for housing. Housing Authorities maintain lists of available Section 8 units and share them with voucher holders. Sites like AffordableHousing.com (GoSection8) let you list properties for free specifically to voucher holders.

In NYC, where demand for affordable housing far exceeds supply, accepting Section 8 means you'll have a steady stream of applicants. You won't struggle to fill vacancies because there are thousands of voucher holders searching for landlords who will accept them. This is especially valuable if your property is in a neighborhood where market-rate rents are challenging to achieve.

Annual Inspections Keep Your Property Maintained

Some landlords see Section 8 inspections as a burden, but consider the alternative: without regular inspections, small maintenance issues can become major problems. The Housing Quality Standards (HQS) inspection ensures your property meets basic health and safety requirements, things like working smoke detectors, functional plumbing, adequate heating, and structural integrity.

These are standards you should be maintaining anyway. The inspection provides a regular check-in that helps you stay on top of your property's condition. If issues are identified, you have time to correct them. And if a tenant is causing damage, the inspection documents the property's condition, which can be valuable if disputes arise later.

Rent Increases Are Possible

A common misconception is that Section 8 locks you into below-market rent forever. In reality, you can request rent increases annually, and Housing Authorities typically approve increases that align with Fair Market Rent adjustments. In NYC, CityFHEPS and Section 8 payment standards are indexed to Fair Market Rent, which has been increasing.

The Housing Authority will assess whether your proposed rent is reasonable compared to similar units in the area. If your rent increase is in line with market conditions, it will generally be approved. You're not giving up the ability to raise rent; you're just working within a structured process.

The Stereotypes Don't Hold Up

There are no documented statistics showing that Section 8 tenants are more likely to damage units or violate lease terms compared to market-rate tenants. The belief that voucher holders are inherently problematic is based on stereotypes, not data.

Section 8 tenants come from all walks of life. Over 50% of vouchers serve elderly or non-elderly disabled households. About 45% assist single-parent families. These are people with financial need, not character flaws. Many are working, just not earning enough to afford market-rate rent in expensive cities like New York.

The screening process matters more than the source of income. A voucher holder with excellent rental history, good references, and stable employment will likely be a better tenant than a market-rate applicant with evictions on their record. Judge applicants as individuals, not as members of a category.

In NYC, You're Required to Accept Vouchers Anyway

New York City has strong source of income discrimination protections. Under the NYC Human Rights Law, it's illegal to refuse to rent to someone because they have a Section 8 voucher, CityFHEPS, FHEPS, or any other lawful source of income. This has been the law since 2008.

Landlords who advertise "no Section 8" or reject applicants solely because of their voucher status can face complaints with the NYC Commission on Human Rights, which can result in fines and damages. Given that you're legally required to consider voucher holders, it makes sense to understand the actual benefits of working with them rather than viewing it purely as a compliance burden.

CityFHEPS and Other NYC Programs Offer Additional Incentives

Beyond federal Section 8, NYC's CityFHEPS program offers landlord-friendly incentives:

• First month's rent in full, plus the next three months' rent supplement upfront
• Security voucher
• Unit hold incentive equal to one month's rent
• Payment standards indexed to Section 8 Fair Market Rent
• Payments for up to five years with extensions for good cause

These incentives are designed to make it easier for landlords to lease to voucher holders. The upfront payments help bridge the gap while paperwork is processed, and the ongoing guaranteed payments provide long-term stability.

The Bottom Line

Section 8 tenants offer landlords guaranteed partial rent, longer tenancies, pre-screened applicants, built-in accountability, free marketing, and a large pool of motivated renters. The stereotypes about voucher holders don't match the reality of how the program works or who participates in it.

If you've been avoiding Section 8 because of assumptions or past experiences with one difficult tenant, consider whether those concerns are really about Section 8 or about screening practices. A well-screened Section 8 tenant can be one of the best tenants you'll ever have, someone who values their housing stability, pays rent reliably (with government backing), and stays for years.

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Ready to find Section 8 tenants? List your property on VoucherMatch and connect with voucher holders actively searching for housing in NYC.

Voucher holder looking for housing? Browse voucher-friendly listings from landlords who welcome Section 8 and other assistance programs.