My mom was obsessed with providing Section 8 housing and low income housing, the tenants were a mess every single time. I was put off on the entire concept and hassle of real estate, until I was exposed to inner city luxury housing. Which is priced in its own privileged tier to even get started as an investor.

Of course it comes down to the people, regardless of the psychological incentives. But maybe the incentives promote some poor behaviors enough that its such a shared experience of poor behaving tenants.