How to Get Group Home Rent Paid Through Government

4 Jan 2014 by ">Admin

How can I start a group home for adults or elderly and get paid through government?

These are great questions to ask. These days, millions of people need of quality housing but simply do not have the income to afford a place to live. With average rents at apartments of $1,109.73 in the second quarter of 2013, it is no wonder adults, and the elderly are looking for cheaper alternatives. Often, group homes for the elderly are the best options.

Homes like these often come with shared rooms, essentially giving two people the ability to live in a room together and inside a home with a common kitchen. In essence, they are roommates! Because this type of housing is in such high demand, many entrepreneurs and real estate investors are starting up group homes for adults and the elderly to make additional income. And in many cases, not just a little income. Often, the income potential can be astounding.

For specialized housing, an example being group homes for the developmentally disabled, owners such as the Levy brothers in New York each paid themselves over $1,000,000 per year. That equates to over $83,333 per month per person! And this was just the salary. Each brother had their company pay for luxury automobiles and tuition for their children according to the New York Times. With houses in the Hamptons, Sutton Place and Palm Beach Gardens; neither brother is hurting running group homes and special needs housing. And how do they do it? They run a Medicaid-financed organization serving the developmentally disabled according to the New York Times.

But these two brothers have also been doing this for quite some time. Let’s assume you are new to the industry or simply just looking for a way to make some additional money, provide an excellent service for others and quit your job. One of the questions you may ask is, “how do I collect rent” from the people I provide housing for? Do I get got to a tenant or does I always get paid through government?”

Options to Get Paid Through Government

  • Private Pay – The parents, relatives or the individual themselves pays for the monthly group home rent
  • Subsidized – SRO housing (HUD)
  • SSI – Supplemental Security Income payments are sent to the client via direct deposit onto their credit card or a physical check is sent out. Your client then pays the group home rent with this money
  • SSDI – Social security disability income is paid to your client. Your client then pays you directly
  • Access To Recovery Voucher – ACT vouchers can provide rental income for your recovery home, group home, elderly group home etc.
  • HHS – The United States Health and Human Services office has individual state offices throughout your neighborhood. They will pay for housing and related services so that your clients can pay you. The check comes directly from the HHS office.
  • Grants and many other locations – There are so many places whereby you are the owner of the group home can receive rent and obtain money for providing your services.


Stop Worrying About Collections

When it comes to running a group home for the elderly or any special needs population the most important thing to realize is that a small percentage of people will not have their rent money. However, the great thing about operating group homes for disadvantaged populations is not having to worry about collections! The money just shows up in your account because you can get paid through government.

How do you do this? Well, the most important thing to do is obtain the client. Once you have the client, his or her social worker, case worker or other care-taker will provide you with all the documentation you need to obtain the rent money that you charge for providing a quality and much needed service.

If you are looking for additional information on how to start a group home, halfway home, transitional living home, sober home, foster home, ICF/MR home, DADS Home or another type of care home for people with disabilities; check out our free course on starting your very own income-generating group home by entering your email below




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