For quite some time - as a result of cautious screening - I have been very successful with the many Section 8rs in my overall portfolio. However, with recent news about the likelihood of a sudden shift against such governmental aid to renters, PLUS the fact that low income multifamily property has finally risen to all time highs in my area, I am seriously thinking of selling off most of my property and getting completely out of the low income landlord business before a related economic bust occurs.

Accordingly, I am extremely interested in learning how fellow Mrlandlord readers feel about what some of my local cohorts are telling me is my "much too pessimistic outlook"

on this matter.

IMO there will always be some sort of rental assistance program especially in the "People's Republic of MA and other areas of the country where rents are high. It may come in the form of S8, PHA owned, managed & run housing projects or even some form of individual state run programs like MA's old 707 program.

Calvin, if an economic bust occurs, many formerly middle class homeowners would then dip into the lower income class, albeit temporarily while they regroup. Or am I missing something?

So, the names on the mailboxes would change a bit, as some people lost their tenuous grip on low income housing and doubled up with family or friends. The middle class homeowners who were stricken with job loss, bankruptcy might still have enough employment to qualify in a low income rental as they climb back up.

"Busy," I think his concern it if govt subsidy stopped there could be a RE crash.

I don't see it happening - can you imagine the riots for kicking the entitled out of their housing? It'd make LA look like a clambake. Not to mention the REITS and big companies going under - they will never let it happen.

Calvin,

Congrats on your success! I'll suggest you need to go with what's right for you and your interests.

With 46+% of Americans receiving govt benefits I cannot see Sec8 being eliminated. Their would be riots and it would take years. If anything it's a safer investment - like my 55 yer old friend who sought a govt job for the security.

I have not seen the report you mention. I DO know the media LOVES to stir stuff up as clickbait.

All RE is local so additional low income housing might take away from your Sec8 customer list. Here they keep adding more units but we're still getting calls and we're full up. SOme of those complexes did low income for a few years to meet their loan requirements then converted to high end apts.

Me? I'm selling many low end homes, even tho profitable, and buying higher rent homes to maintain cash flow while reducing workload. 30 $2000/mo homes = $40,000 per month profit = $480,000/year.

LTD, I kinda knew that, but to me, that's a lot of worry over a whole lot of what if. Media is jacking people up to a frenzy if worry in this country. Notice how all weather reports always show the maps in orange on a daily basis, then when temps get a tad above normal, red and purple. This last bit of heat here in the Midwest had people going out of their minds. Over -hype! Not healthy.

My point to Calvin would be, people adapt.

I was doing taxes for one of those chain firms way back when my state began Welfare to Work. I had clients coming in who had a job for the first time in their lives, AND, for the first time in their family. They were so proud of those paychecks! One woman was just bursting with pride about how she and several friends rented a big old house, five families under one roof. They all worked different shifts, so there was always someone there to watch each other's kids. She said they were looking to add another third shift Mama to have a little more kid watching coverage, lol! It was inspiring! (That's where Pres. Clinto got the idea from- Wisconsin.Smart man, see a good idea and use it, work across the aisle!)