Maximize returns.

Get Started For Free

What investors should know before their Section 8 inspection

home inspector
by Jeff Rohde, posted in Investment Strategy

The Housing Choice Voucher Section 8 program from HUD offers landlords a way to receive reliable rental income while keeping vacancy levels low. Rent payments are received directly from the local public housing agency, while tenants pay any remaining rent amount directly to their landlord.

However, in order to participate in Section 8, a rental property has to pass an inspection once a year to ensure that a home a tenant is renting is decent, safe, and sanitary. 

In this article, we’ll take an in-depth look at Section 8 inspections, including the specific items an inspector reviews, the most common violations found in an inspection, and what a landlord can do if a property doesn’t pass inspection.


Key takeaways

  • A Section 8 inspection is performed to verify that a home meets the Housing Quality Standards (HQS) established by HUD that help guarantee a home is in a decent, safe, and sanitary condition.
  • Section 8 inspections are completed by an employee or contractor of the local public housing agency (PHA).
  • Inspections on a Section 8 property are done before a tenant moves in, and every 1-2 years thereafter.
  • A Section 8 inspection may also be performed at the discretion of the PHA if a tenant, landlord, or neighbor complains about the condition of the property.
  • Items reviewed during a Section 8 inspection include electrical and safety hazards, condition of walls and ceilings, security of windows and doors, presence of smoke detectors, and lead-based paint.
  • If a serious health or safety violation is found during an inspection, a landlord is required to make repairs right away.
  • While a Section 8 inspection is detailed, most landlords and property managers inspect the same items during their own routine periodic inspections.

 

Who performs a Section 8 inspection?

HUD’s Real Estate Assessment Center (REAC) sets inspection standards and oversees inspections for Section 8 property. Section 8 inspections, also known as REAC inspections, are normally performed by:

  • Employees of the local public housing agency (PHA).
  • Contractors of the local PHA.
  • Inspectors contracted by HUD.

Before conducting an inspection on behalf of HUD, the inspector must successfully complete and pass a HUD certification course. Section 8 inspections are in addition to any inspections that a state or local municipality may require, or to the routine inspections that a landlord may normally do.

 

A woman talking to a home inspector on her front porch

How often are Section 8 inspections performed?

For homes that are enrolled in the Housing Choice Voucher Section 8 program, routine inspections are performed:

  • Before a tenant moves in to ensure the property meets HUD’s Housing Quality Standards (HQS) that a home be decent, safe, and sanitary.
  • Every 1-2 years after a tenant with a housing choice voucher has moved into the home.

 

Special Section 8 inspections may also be performed at the discretion of HUD if:

  • A tenant complains about a health, safety, or sanitary condition at the property.
  • A landlord complains about a health, safety, or sanitary condition at the property.
  • A member of the general public complains about a health, safety, or sanitary condition at the property.
  • A special inspection may also be scheduled if the local PHA decides that one is necessary.

A landlord and tenant will generally receive an advance notice from the local public housing authority with the time and data that an inspection will be performed, in order to comply with the local and state landlord-tenant laws. Inspections are performed by the PHA to ensure a landlord is providing a tenant with a decent, safe, and sanitary home. 

However, inspections are not done to verify that the tenant is taking care of the property or keeping the home clean.

 

What does a Section 8 inspection cover?

Section 8 inspections are performed to verify that a home meets the Housing Quality Standards (HQS) established by HUD. There are 13 key aspects of housing quality covered during an inspection:

  1. Sanitary facilities.
  2. Food preparation and refuse disposal.
  3. Space and security.
  4. Thermal environment.
  5. Illumination and electricity.
  6. Structure and materials.
  7. Interior air quality.
  8. Water supply.
  9. Lead based paint.
  10. Access.
  11. Site and neighborhood.
  12. Sanitary conditions.
  13. Smoke detectors.

 

Section 8 inspection checklist

Items inspected during a Section 8 inspection are graded as passing, failing, or inconclusive. For example, if an inspector is unable to access an electrical panel, the item may be marked as inconclusive until the inspector has access to the panel.

A PDF of the inspection checklist used for the Housing Choice Voucher Program can be downloaded from the HUD website. These are the general items reviewed on a Section 8 inspection checklist:

Living room

  • Living room present
  • Electricity
  • Electrical hazards
  • Security
  • Window condition
  • Ceiling condition
  • Wall condition
  • Floor condition
  • Lead-based paint

Kitchen

  • Kitchen present
  • Electricity
  • Electrical hazards
  • Security
  • Window condition
  • Ceiling condition
  • Wall condition
  • Floor condition
  • Lead-based paint
  • Stove or range with oven
  • Refrigerator
  • Sink
  • Space for storage, preparation, and serving of food

Bathroom

  • Bathroom present
  • Electricity
  • Electrical hazards
  • Security
  • Window condition
  • Ceiling condition
  • Wall condition
  • Floor condition
  • Lead-based paint
  • Flush toilet in enclosed room
  • Fixed wash basin or lavatory
  • Tub or shower
  • Ventilation

Other rooms used for living and halls

  • Electricity/illumination
  • Electrical hazards
  • Security
  • Window condition
  • Ceiling condition
  • Wall condition
  • Floor condition
  • Lead-based paint
  • Smoke detectors

Secondary rooms not used for living

  • Security
  • Electrical hazards
  • Other potentially hazardous features

Building exterior

  • Condition of foundation
  • Condition of stairs, rails, and porches
  • Condition of roof/gutters
  • Condition of exterior surfaces
  • Condition of chimney
  • Lead paint

Heating and plumbing

  • Adequacy of heating equipment
  • Safety of heating equipment
  • Ventilation/cooling
  • Water heater
  • Approvable water supply
  • Plumbing
  • Sewer connection

General health and safety

  • Access to unit
  • Fire exits
  • Evidence of infestation
  • Garbage and debris
  • Refuse disposal
  • Interior stairs and common halls
  • Other interior hazards
  • Elevators (if applicable)
  • Interior air quality
  • Site and neighborhood conditions
  • Lead-based paint: Owner’s certification

Questions an inspector may ask a tenant

  • Does the owner make repairs when asked?
  • How many people live in the home?
  • How much money does the tenant pay for rent?
  • Does the tenant pay for anything else?
  • Who owns the range and refrigerator?
  • Is there anything else that the tenant would like to say?

 

A repairman checking the air conditioner

Common issues found during a Section 8 inspection

Here are examples of the top common deficiencies found during Section 8 inspections, according to HUD:

Doors

Door surfaces, trim, seals, and frames are damaged by items such as holes or rust. Doors do not lock or latch properly. Security doors do not have dual-side locks.

Windows

Windows are in poor condition and do not open and close properly. There are no locks or screens, or the windows have cracks or breaks.

Bathrooms

Pipes and faucets are leaking, or the bathroom does not have a functioning sink and shower/tub. Hot and cold water handles are not working properly. Diverters are not working, or drains do not have stoppers. 

Kitchen

Refrigerator or kitchen stove is inoperable, or stove burners are not working. Hot and cold water handles are not working properly.

Plumbing and electrical

Missing plate covers for outlines and light switches, or existing covers are cracked or broken. Pressure relief valve discharge tube on a water heater does not extend to within 18 inches of the floor. Access to the electrical panel is blocked by furniture or other items that are difficult to move. Breaker and fuse ports are open and uncovered. 

Heating and cooling

Vent stack on a gas operated heating unit is not properly aligned. HVAC covers are missing from baseboard heaters. 

General safety and cleanliness

Clothes dryer is not properly vented to the outside from the house or laundry room. Storm sewers or drains are blocked or clogged with debris like trash or leaves, or are uncovered. Trash receptacles are insufficient for the size of the property or the number of rental units. Auxiliary or security lighting does not work.

 

What happens if a violation is found during an inspection?

If a Section 8 property fails an initial move-in inspection, the home can not be rented until all issues are fixed and the property is re-inspected. During that time a tenant may work with the local PHA to find another home to rent.

If a Section 8 property fails an annual or special inspection, a landlord must immediately repair any serious health or safety defects discovered by an inspector. The property must also be re-inspected after repairs are made. 

Landlords normally have 30 days to correct issues that do not pose serious health or safety issues, and to have the property re-inspected.

 

Closing thoughts

Some property owners become unnecessarily nervous after reviewing the items covered on a Section 8 inspection. But in all likelihood, an owner or property manager is already performing a detailed inspection at least once a year, which means that a HUD inspection probably won’t discover too many things wrong with the property that a landlord doesn’t already know about.

Becoming a Section 8 landlord may present a good opportunity for investors willing to put in a little extra effort. Rental income is paid to a landlord by the local PHA, with a tenant responsible for their share. Vacancies are generally easy to fill, because most cities have a waiting list of renters looking for a home that qualifies for Section 8.

 

Find this content useful? Share it with your friends!