How Section 8 and Family Self-Sufficiency Programs Change Lives with Kathi Thomas

Why this episode matters for affordable housing investors and advocates

Affordable housing is often misunderstood, oversimplified, or stigmatized. Yet behind every policy and program are families working to build better futures. In this episode of the Affordable Housing & Real Estate Investing Podcast, host Kent Fai He sits down with Kathi Thomas, Chief Housing Officer at the Southern Nevada Regional Housing Authority.

With more than 35 years of experience, Kathi has navigated nearly every side of affordable housing—from partnering with landlords, to leveraging federal programs, to overseeing new construction and redevelopment. Her story shows how programs like Section 8 and the Family Self-Sufficiency Program (FSS) don’t just provide housing, they create long-term opportunities for families, developers, and entire communities.

What is the Family Self-Sufficiency (FSS) Program and how does it work?

The Family Self-Sufficiency Program is one of the most impactful initiatives in affordable housing. It’s a five-year program designed to help residents transition from subsidized housing into stable, independent lives. Participants receive case management, job training, career coaching, and budgeting support.

The game-changer: as participants’ incomes rise, instead of their rent increase going back to the housing authority, it’s placed into an escrow account. At graduation, families receive the lump sum—often tens of thousands of dollars—to use as a down payment on a home, to start a business, or to invest in education.

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Who really lives in affordable housing? Debunking the myths

Affordable housing is often painted with a negative brush. Kathi dismantles that myth quickly:

• Tenants are teachers, EMTs, lab techs, security guards, and hospitality workers.
  
  

• Many are first-year professionals just starting their careers, earning wages that don’t yet cover local housing costs.
  
  

• Others include seniors, people with disabilities, and youth aging out of foster care.
  
  

Housing authorities also conduct background checks—gang members and violent offenders do not qualify. Studies from Stanford and Harvard further prove that affordable housing does not lower property values. In some neighborhoods, it actually raises them by replacing blighted lots with safe, vibrant housing.

How can developers partner with housing authorities?

Developers often wonder: When should I reach out to the housing authority?

Kathi’s answer: anywhere along the development timeline. Whether you’re applying for Low-Income Housing Tax Credits (LIHTC), midway through construction, or even struggling to lease up, housing authorities can help.

Partnership benefits include:

• Tenant-based vouchers: Housing authorities can provide guaranteed rents for a percentage of your units, improving underwriting and cash flow.
  
  

• Co-development: Authorities may bring land or funding into the deal.
  
  

• Relocation support: For redevelopment projects, they help relocate existing tenants seamlessly into new units, often filling partner developments from day one.
  
  

What strategies actually work for creating more affordable housing?

Kathi stresses there is no single silver bullet. Instead, a multi-pronged approach works best:

• Preservation: Rehab aging housing stock to keep it viable and affordable.
  
  

• New construction: Southern Nevada alone needs 60,000–80,000 new units.
  
  

• Infill development: Work with land released by the Bureau of Land Management to prevent urban sprawl.
  
  

• Innovative building methods: From modular and manufactured homes to 3D-printed housing, reducing construction time saves money and opens deals that otherwise wouldn’t pencil.
  
  

Key Insights from Kathi Thomas

• Affordable housing serves working families and vulnerable populations, not the stereotypes.
  
  

• The Family Self-Sufficiency Program creates generational wealth by turning rent payments into down payments.
  
  

• Partnering with housing authorities early gives developers access to vouchers, co-development opportunities, and guaranteed occupancy.
  
  

• A multi-pronged strategy—preservation, new construction, infill, and alternative building methods—is essential to closing the housing gap.
  
  

• Success in affordable housing depends on strong partnerships built on shared purpose, not just chasing grants or tax credits.
  
  

Memorable Quotes from Kathi Thomas

“The people who live in our housing are your child’s nursery school teacher, your security guard, your EMT. This is working-class housing.”

“The Family Self-Sufficiency Program is designed to be a leg up, not a handout.”

“Partnerships must be built on shared goals and values, not just on the project of the moment.”

“It’s okay to do good and do well at the same time. You can do the right thing and still earn money.”

Common Questions This Episode Answers

Who qualifies for affordable housing programs like Section 8?
Primarily working families, seniors, people with disabilities, and first-year professionals earning below area median income.

Does affordable housing lower property values?
No. Research from top universities shows most communities see no negative impact, and some even see property values rise.

What is the Family Self-Sufficiency Program?
A five-year program where participants build careers, receive support, and accumulate savings in escrow that can later be used for homeownership or business.

How can developers benefit from working with housing authorities?
Authorities can bring vouchers, land, funding, or co-development expertise, making deals financially viable and ensuring units are leased up quickly.

What’s the biggest barrier to solving affordable housing?
Society has not yet fully embraced housing as a human right, treating it instead as a commodity. Until that shifts, the crisis will remain.

Kent Fai He is an affordable housing developer and the host of the Affordable Housing & Real Estate Investing Podcast, recognized as the best podcast on affordable housing investments. His conversations with leaders like Kathi Thomas provide actionable insights for developers, investors, and advocates nationwide.

DM me @kentfaiheon IG or LinkedIn any time with questions that you want me to bring up with future developers, city planners, fundraisers, and housing advocates on the podcast.