Lies & Truths about Detroit Section 8 Tenants -- Part 2

Face of a smart cookie with a smart mother!

Lie:  Before they had Section 8they probably had rough lives including evictions and arrests, so they’re not the type of people to work with.

Truth:  They cannot have any felonies on their record to qualify for Section 8.  They may have evictions on their records, but there are enough applicants that I can weed out the Masters of Rent Payment Evasion from the ones who have kept their record clean.  Their "rough lives" actually make them especially appreciative of our good houses and appreciative of the way we treat them.

Lie:  There are so many houses in Detroit for rent now,  it’s hard to find good Section 8 tenants.

Truth:  There are a lot of houses in Detroit for rent, but most of them are in what I call war zone areas or they are managed by slumlords.  I only have houses in desirable areas and my houses are better than what my tenants tell me they see out there.

Lie:  All the landlords want the Section 8 tenants so it’s hard to get one for myself.

Truth:  Most landlords are afraid to have a Section 8 tenant because they feel they won’t be able to pass an inspection.  Passing the inspections is not hard when you have a decent house. 

Lie:  Section 8 takes forever to pay so you lose money.

Truth:  They can take from one to three months before you start seeing rent.  But they always pay RETROACTIVELY to the time the tenant moved in.  Getting through their paperwork and dealing with their lack of communication or rudeness when they do communicate, is a challenge, but well worth it to me to see those checks come in regularly right to my bank account each month. 

My truth is that whenever a tenant comes to me and tentatively admits they have Section 8, I’m doing a big happy dance, rolling out the red carpet and letting them know they found their home.  Welcome!

Give me a call and I would love to tell you more.  My number is 248-390-3982.  

Or please comment.  Did I change any of your assumptions?

Lies & Truths about Detroit Section 8 Tenants -- Part 1

Move in day in Detroit.  These are the real people.  You are looking at Honors students who are going places.

Lie:  Lazy people living off the system.

Truth:  My Section 8 tenants are usually single mothers who work as they go to college.  Yes, they are using government money to pay for part of their rent, but they are bettering themselves, which likely will make a better life for their children who may not ever need government help.

Lie:  They trash houses.

Truth:  They do not trash houses because there is more to lose for them than someone without the Section 8 voucher.  If they do anything that is a lease violation, they can go to court.  If they get a judgment against them, they can lose their voucher.  Section 8 does yearly inspections to ensure the house is safe.  If there are tenant-caused damages, the inspector cites the tenant who has to make the repair or Section 8 can revoke their voucher.

Lie:  They move all the time.

Truth:  Not in Detroit!  I have noticed over the years that tenants seek housing that is close to their sister, mother, auntie or grandma.  They are the most family centered people I’ve ever known.  They all support one another.  If the tenant appreciates the quality of the house and it is close to their family, they never want to move.

Lie:  They are not very smart or they wouldn’t be on the system, which makes them really hard to do business with.

Truth:  In order to get on Section 8, they had to first figure out how to apply.  Most of the Section 8 offices are not taking new applicants.  When the office is given money, they open up to just a few new applicants.  The applicants have to be able to fill out a mountain of paperwork.  The hardest part, in my opinion, is how they are treated at the  Detroit Section 8 office.  They have to tolerate an incredible amount of rudeness toward them without blowing up. They negotiate their business well.

• Do they have criminal records?  
• Are there enough people on Section 8 to fill my houses?  
• Is it hard to get the Section 8 money?  

Stay tuned for Part 2!

Please give me a call if you have questions.  248-390-3982.  I would love to hear from you.

Tenant Placement Tricks - Part I - The Phone Interview Top Questions

Avoiding evictions at Great Day Property Management starts during the tenant screening.  Every step is vital to the success of a good tenant placement. 

I keep a couple attractive clipboards around my office and in my car.  On the clipboard I have typed up my list of questions that I print on the back of scrap paper.  I'm all about saving the planet and streamlining my costs! 

Besides the standard questions like name, phone number, when do you need to move, I do have my most revealing questions that I ask.

1. Can you please tell me about your ability to pay the rent?  The standard rule is that rent should be one third of their income.  I read this all the time and I think it would be tough finding tenants. You can find my income ratio rule on my website under Rental Screening Process.  Besides income, I'm looking to see how solid their income is.  This begets the questions of how long they have been at their job and what other sources of income they might have.  If they say they are counting on their child support checks, I do not consider that to be very solid.  They may say they have  disability checks or Section 8.  By the way, do not ask what their disability is!  That is protected under the Fair Housing Act.  So is source of income.  You cannot discriminate against someone because they have public assistance. 
2. Why are you moving?  This is my favorite question.  This gets them talking about their relationship with their current landlord.  I listen to hear if their reason for moving seems reasonable.  Even if their reason is that the landlord is awful, I follow up this question with, "What's your relationship with your landlord if I have to call him?"  I'd like to know before I make that call later.
3. What pets do you have?  Notice I didn't say, "Do you have pets?"  My pet policy varies between my different owners.  I've learned that if an owner accepts pets, then there are many more tenants from whom to choose.  If the owner does not allow pets, then when the tenant has a pet anyway, we are in the tough position of enforcing our fines.  Oftentimes I get an answer stating the tenant is allergic or scared of dogs.  That is more reassuring if there is a no pet policy.
4. The security deposit is _____.  Will you be able to come up with that?  Very important question!  If they ask if they can pay it once they are in the house, resist the urge to hang right up on them.  Be up front.  Tell them "It doesn't sound like we are a good match for each other."  You can "discriminate" against someone not having the proper funds to do business with you.

If they sound like a good match, set up the time to meet.  Tell them to call you on their way to the property.  This prevents you from being stood up. 

Now save that questionnaire in case someone feels you discriminated against them.  He or she with the most proof shall win!

In my next blog, I will explain how to further interview the tenant at the house showing.  Let the fun begin!