Selling Your Section 8 Housing Part 2
The United States Department of Housing and Urban Development (HUD) started the Housing Choice Voucher program to assist low-income families, the elderly, and the disabled pay for “decent, safe, and sanitary housing in the private market.” As we mentioned in part one, if you own property that qualifies for this program and you have tenants, you have a Housing Assistance Payments (HAP) contract with the tenant and Public Housing Agency (PHA).
If you want to sell your Section 8 housing, you will face many challenges when trying to sell on the traditional market. Fortunately, you can work with as is house buyers in Raleigh, NC to sell your Section 8 property quickly without worrying about financial burdens and legal complications.
Responsibilities of the Owner or Landlord
Typically, a sale or transfer of a Section 8 property will require the owner to take a number of actions including providing the local housing authority with a written notice containing the names, addresses, and phone numbers of you and the forthcoming owner as well as the address of any units being sold, the name of the tenant(s), and the date of the transfer of the property.
On the other hand, the new owner must provide the local housing authority with a written notice containing their name, address, and phone number as well as the same information for the previous owner (you). The new owner must then provide a name for the account being set-up under an LLC, Inc., etc. Also, they must include the name that the monthly HAP assistance check should be issued to. Lastly, the new owner will supply a copy of the Proof of Ownership, a HUD Settlement Statement, a Warranty Deed, and a Recorded Land Contract, and any pertinent management agreements. This information must be compiled and delivered to a Section 8 representative in your area.
What Happens Next?
Once the documents containing all of the information mentioned in the previous section have been received, the new owner will receive an Assumption of HAP Contract and a W-9 form. After completing both forms and signing them, they will return the original form (not a copy) to a Section 8 representative. When these two documents have been received, the new owner’s data will be logged into the system and they will officially take over as the owner or landlord of your property. At this point, you should no longer receive HAP payments and the burden of the property will be the new owner’s responsibility.
Understandably, this process might seem a little confusing or drawn out. Forfeiting ownership of your Section 8 property and slipping out of your lease obligations can be challenging without the right support. Fortunately, you can avoid this entire procedure by contacting as is house buyers in Raleigh, NC.
Disclaimer: This website is not a substitute for legal advice. If you have a serious legal, tax, or other issue requiring professional advice, please consult with an attorney or CPA.