Turn-Key Properties LLC
Since 1993
  • Turn-Key Properties LLC
    • Testimonials
    • Real Estate Glossary
  • Property Management
    • FAQ's
    • Overview of Services
    • Why Pay for Property Management?
    • Rental Prices
  • Owner Resources & Articles
    • Emotional Support Animals - Laws for Landlords
    • Common Tax Deductions for Landlords
    • What Records Should I Keep for Tax Purposes?
    • 5 Questions Every First-time Rental Property Investor has
  • Homes for Rent & Tenant Resources
    • Do you want to live in that neighborhood?
    • Pet Policy
    • Putting your touch on your new home
  • Contact Us
    • Related Links
    • Communities >
      • Kansas City >
        • Plaza
        • Westport
        • Old Northeast
        • Downtown
        • River Market
      • Raytown, MO
      • Pleasant Hill, MO
      • Blue Springs, MO
      • Independence, MO
      • Belton, MO
      • Raymore, MO
      • Harrisonville, MO
      • Odessa, MO
      • Liberty, MO
      • Riverside, MO
      • Smithville, MO
      • Grandview, MO
      • Greenwood, MO
      • Lake Lotawana, MO
      • Gladstone, MO
      • Overland Park, KS
      • Olathe, KS
      • Mission, KS
      • Shawnee, KS
      • Kansas City, KS
      • Lenexa, KS
      • Prairie Village, KS
      • Mission Hills, KS
  • 5413 NE Rainbow Ct
  • 14913 Kelly Drive

Do I have to accept Section 8 Tenants?

4/12/2012

3 Comments

 
This is a common and somewhat tricky question I hear from our property management clients. Can I refuse to rent to Section-8 tenants, or do I have to accept them?

What is Section-8 and the HAKC? I sum that up in this article!

Like most things the government is overseeing the answer is as convoluted and difficult as figuring out your taxes. While it may not be illegal on a federal level it may be a violation of some statute or regulation in your state or municipality.

New York, for instance has ruled that refusing to accept a section 8 voucher from an existing tenant is somehow discriminatory. I have attached a document below detailing that court battle.

While that ruling appeared to address only existing tenants who later qualify and receive section 8 funding, it left open (at least by my reading) the choice of refusing to rent to section 8 tenants who are applying to rent your property. That said I wouldn't want to be the one facing some liberal New York judge to be the test case for their axe to grind.

By the same token, a California court has held that a landlord may refuse to accept section 8.  I will also attach that document below.

In a case with important and lasting implications for landlords, the California Courts of Appeal has found that a landlord may legally refuse to participate in the Section 8 Program.1 This important case interprets the California Fair Employment and Housing Act (“FEHA”), and in particular, California Government Code Section 12955 which prohibits discrimination based upon source of income. The Court of Appeal’s decision ends several years of conflict between tenant advocacy groups and landlords who disputed whether FEHA prohibited a landlord from refusing to accept Section 8 rental assistance payments.

Once again this was decided, as well it should be by a State Court and not a Federal Court! But the fact remains that none of us want to be the bellwether case that makes it to the Supreme Court of the US!  Most of these cases are handled outside of a courtroom because of the heavy-handed tactics of HUD and their contractors most of these cases never see the light of day. Most landlords are frightened into submission and settle before it ever become public.

You can read how HUD uses extortion and coercion to entice guilty pleas form their victims in this article, Fair Housing Truths and Myths.

Since our clientele is mostly investing in the Midwest, how do these two extremely liberal state court rulings affect us here in fly-over country? The answer is simple what happens on the coast is usually a harbinger of what is to come to the rest of America.
PictureObama Pool Lift
Sadly as America drifts more closely to the shores of shared misery brought to you by socialism and liberalism, we also are drifting headlong into more and more government intrusion in our lives and our businesses. This year because of a new pool regulation my favorite public pool won't be opening. This pool was operated as a not-for-profit and on a shoe-sting budget. With the new Obama Pool Rules they simply cannot afford to open.

So here are my suggestions on dealing with this question:
  • Never advertise or state that you do not accept Section-8
  • Have a written policy of minimum criteria for rental applicants
  • Always state that the home MAY NOT QUALIFY for section-8! Since most housing authorities have inspection requirements there is as yet, no law requiring you to submit to those inspections or make their required repairs. 
  • If asked if you accept section-8 your response should never be no!
  • If a tenant with a section-8 voucher wishes to apply for your rental unit DO NOT REFUSE! This could be seen as discrimination and wind up getting you into a big mess. You should take the application and explain to them your policy of minimum criteria for rental applicants! 
We are not lawyers, please do not rely on us for legal help! If you are unsure of the laws or regulations pertaining to your questions please seek the professional help of an attorney!  DISCLAIMER


3 Comments
nikki
6/4/2012 04:28:17 am

You have listed that you can disqualify someone if they are a sex offender. In fact that is against fair housing. You cannot disqualify someone for being a sex offender. Horrible but true.

Reply
Kansas City Property Management link
6/4/2012 11:29:18 am

Nikki, "sex offenders" are not a protected class at all, at least on the Federal level. I suppose if you live in some liberal bastion like San Francisco or New York, they may have some local laws pertaining to tenant selection. But, no; you absolutely are NOT required to rent to sex offenders!

Reply
rhonda
2/9/2015 07:55:26 am

I found this article, I wished I can live in apartment's or home that did not accept, most of those on this do not respect property or neighbors as they do not habe to use thier hard earn money to rent .it is getting harder to find places who do not accept rather than

Reply

Your comment will be posted after it is approved.


Leave a Reply.

    Turn-Key Properties LLC

    22 years of real estate and property management experience serving Missouri and Kansas.

    Archives

    February 2019
    April 2017
    March 2017
    February 2017
    January 2017
    December 2016
    November 2016
    July 2016
    August 2013
    June 2012
    May 2012
    April 2012
    March 2012
    February 2012
    December 2011

    Categories

    All
    1031
    1031 Exchange
    24 CFR 206.125
    Advertising
    After Repair Value
    Apartments
    Appraisal Appeal
    Arv
    Asset Protection
    Bbq
    Board Of Equlization
    Cam
    Can And Can\\
    Cap Rate
    Cash On Cash Return
    Commercial
    Community
    Contract For Deed
    Crime
    Definitions
    Disclaimer
    Document
    Do I Have To Take Section 8
    Download
    Drugs
    Epoxy Injection
    Equestrian Real Estate
    Equine Property
    Fair Housing
    Fannie Mae
    Farm
    Foreclosure
    Form
    Foundation Repair
    Freddie Mac
    Free Commmercial Lease
    Free Forms
    Free Gun
    Free Lease
    Free Online Forms
    Good
    Grill
    Grm
    Gross Lease
    Gross Rent Multiplier
    Gun
    Hakc
    Hecm
    Home Repair
    Homes
    Homes For Rent
    Horse Farm
    Houses
    Housing Authority
    Housing Crisis
    How Much Rent
    Hud
    Independence
    Internal Rate Of Return
    Investment
    Investment Property
    Investors
    Irr
    Jackson County
    Kansas City
    Kc
    Kck
    Kcmo
    Ks
    Land
    Land Contract
    Landlord
    Landlord Licensing
    Lease
    Lease Agreement
    Lease Form
    Lease Terms
    Liability
    Licensing
    Lihtc
    Llc
    Maintenance
    Mhdc
    Mirr
    Mo
    Modified Internal Rate Of Return
    Neighborhood
    Net Lease
    Nnn Lease
    Online
    Phrases
    Privacy Policy
    Property
    Property Management
    Property Tax
    Pros And Cons
    Raytown
    Real Estate
    Real Estate 101
    Real Estate Investment
    Real Estate Tax
    Registration
    Rent
    Rental
    Rental Forms
    Rental Lease. Lease
    Rental Property
    Rental Rates
    Rent My House
    Rent Or Sell
    Repair
    Requirements Section 8
    Residential Lease
    Section 42
    Section 8
    Section Eight
    Swisher Grill
    Swisher Lawn Mower
    Tax
    Tax Appeal
    Tax Credit
    Tax Levy
    Tenant Screening
    Tenant Selection
    Terms
    Top Ten
    Trade Real Estate
    Triple Net
    Turnkey
    Turn-Key
    Turnkeyproperties
    Turn-Key Properties LLC
    Vacancy
    Value
    Website
    Words

    RSS Feed

    Follow this blog
Powered by Create your own unique website with customizable templates.
Photo used under Creative Commons from sunshinecity