If you own rental property in Tampa Bay or are thinking about buying one, Section 8 might not be the first thing on your mind. But it probably should be.
Rent keeps climbing. Vacancy rates are dropping. And over half of renters in Tampa Bay now spend more than 30% of their income on housing. That’s a problem and also an opening for smart investors.
If you're looking for the best investment strategy in 2025, this one deserves a closer look.
Key Takeaways
- Tampa Bay faces a shortage of over 61,000 affordable housing units, driving more low-income families to seek help through Section 8 and other rental assistance programs.
- Rent in Tampa Bay rose 1.7% year-over-year in 2025, with average monthly rent at $1,660, pricing out many working households and creating opportunity for landlords who accept vouchers.
- Section 8 rentals offer consistent income and fewer vacancies, making them one of the best investment strategies in 2025 for landlords looking for stable returns in a tight housing market.
Tampa Bay's Affordable Housing Crisis
The Tampa–St. Petersburg–Clearwater metro area is short of about 61,299 affordable housing units, according to the National Low Income Housing Coalition 2023 Gap Report. Rent prices are also up 1.7% year-over-year, and the average monthly rent as of July 2025 sits at $1,660.
That’s too much for many working families. So they’re turning to rental assistance programs like Section 8 to keep a roof over their heads.
This is where you come in. Private landlords who accept housing vouchers not only help close the housing gap. They also get access to a pool of prospective tenants with guaranteed income from the local housing authority.
Section 8 and the Housing Choice Voucher Program
Section 8 is a housing assistance program run by the federal government under the Housing Act, with local control handled by public housing agencies. The goal is simple: help low-income families find decent housing in the private market.
Here’s how it works:
- Eligible families get a housing voucher to help cover rent
- They find a place that meets HUD’s housing quality standards
- The local public housing authority pays part of the monthly rent directly to the property owner
- The rest is paid by the tenant, based on their monthly adjusted gross income
- The landlord signs both a lease agreement and a housing assistance payments contract
You get rent money straight into your bank account. The tenant gets help staying housed. It’s a partnership, just with a little more paperwork.
The Pros and Cons of Renting to Section 8 Tenants
Renting to Section 8 tenants has its ups and downs. It’s not for everyone, so it’s worth looking at the good and the bad before signing on.
Pros:
- You get part of the rent paid on time every month by the local housing authority
- There’s always demand, so you’ll likely deal with fewer vacancies
- Your property is listed for free advertising through the local housing authority office
- You support low-income families and make a dent in the housing shortage
- Tenants often stay longer, meaning less turnover
Cons:
- You’ll have to pass annual property inspections
- The process involves more forms and rules than a typical rental
- Any rent increases need approval and must stay within fair market rent limits
- You still need to do your homework—tenant screening, checking eviction history, and managing expectations
Some of the myths around Section 8 tenants, like poor tenant quality or missed rental payments, don’t hold up when you screen right and follow the process.
Is It the Best Investment Strategy in 2025?
Let’s be blunt: You probably won’t charge top-dollar rent by being a Section 8 landlord. But what you give up in premium pricing, you gain in consistency.
- Housing assistance payments show up like clockwork
- You’re protected during economic downturns or job losses
- You spend less on marketing thanks to landlord referrals and voucher program listings
- Tenant turnover is often lower, which means less hassle
In a market where median income isn’t keeping up with rent increases, consistency matters more than ever. That’s what makes this one of the best investment strategies in 2025, especially in a high-demand area like Tampa Bay.
Tips for Success with Section 8 Rentals
Section 8 can work well if you stay on top of the details. Here are a few simple things that make the process smoother:
- Set expectations clearly in your lease agreement
- Keep your place clean and up to code to pass housing quality standards
- Stay on top of the paperwork, especially the housing assistance payments contract
- Work with your local PHA and stay in the loop on state and local laws
- Run a solid tenant screening process—credit, background, and eviction history—just like you would with anyone else
Work with a Local Team and Learn How to Turn Stability Into Profit with Section 8
So, are Section 8 rentals a wise investment strategy in Tampa Bay? For a lot of landlords, yes. You get steady income, long-term tenants, and a clear purpose: offering affordable housing to people who really need it.
It’s not a shortcut to fast profits. But if you’re thinking long-term, and especially if you want fewer vacancies and more stability, renting to Section 8 is worth a serious look.
This process is easier with a team behind you. At PMI Arrico Realty and Property Management, we help local landlords in Tampa Bay handle all the moving parts that come with Section 8 rental housing.
We’ll help you:
- Work with local public housing agencies
- Prep your property to pass annual inspections
- Handle lease setup, rent tracking, and communication with voucher holders
- Make sure your rental income stays steady and your investment property stays profitable
Whether you’re a new landlord or already own multiple rental units, we can take care of the management so you can focus on growth. Let’s help you figure out if Section 8 is a fit for your goals and talk about your best investment strategy in 2025.
FAQs
How much of the rent do vouchers cover?
Most Section 8 vouchers cover about 60% to 70% of the rent, depending on the tenant’s income and the area’s fair market rent. Tenants usually pay at least 30% of what they earn each month, and the local housing authority pays the rest straight to the landlord. If the rent is higher than what the voucher allows, the tenant may need to cover the remaining amount if the authority approves it.
Are security deposits covered by the voucher program?
No, Section 8 doesn’t pay security deposits. That’s up to the tenant. Landlords can still ask for one, but it has to follow local rules just like any other rental. If a tenant can’t afford the deposit, they might get help from charities or local aid programs, but it won’t come from the voucher itself.
Can tenants use their voucher anywhere in the U.S.?
Yes, vouchers can be transferred. It’s called Housing Choice Vouchers (HCV) Portability. As long as the new area has a local housing authority that handles the program, tenants can use their voucher there. They have to let their current office know first, and the new landlord has to agree to take the voucher. The rental still has to pass the same basic inspections.
Related Articles
Tough Renting Decisions Made Easy
3 Best Practices for Rent Collection in Tampa Bay, FL
Unlock the Secrets of Portfolio Management Success in Tampa Bay, FL
