The Trump Administration declared a nationwide eviction moratorium in an effort to keep people in their homes during the ultimate health crisis that is COVID-19.
The 1944 Public Health Service Act is anchoring the motion by the Center of Disease Control and Prevention as it allows them broader quarantine powers during a health crisis.
The Moratorium will extend until Dec. 31 granting residents who make less than $99,000 a year, and are unable to make their rent or house payments, some peace of mind—at least for now.
“President Trump is committed to helping hard-working Americans stay in their homes and combating the spread of the coronavirus,” White House spokesman Brian Morgenstern told reporters Tuesday.”
However, many experts believe the move is potentially setting up tenants for failure in the future. Their insight points to a larger hurdle next year, for renters/tenants, because they will be accruing backpay that will eventually manifest itself as a financial cliff.
“Doug Bibby, president of the National Multifamily Housing Council, said his organization is “disappointed” that the administration enacted an eviction moratorium without funding for rental and unemployment assistance. The group advocates for the apartment industry.”
“An eviction moratorium will ultimately harm the very people it aims to help by making it impossible for housing providers, particularly small owners, to meet their financial obligations and continue to provide shelter to their residents,” Bibby said.”
Others warn of a cascading effect. Renters or tenants won’t be evicted during the pandemic, but landlords will not be seeing the capital they need for building upkeep and maintenance, or mortgages, and the effect goes up the chain.
Government discourse on the possibility of further unemployment aid and a second stimulus check have severely stalled. And many argue that providing aid directly to the people could substantially help Americans pay their rents.
Assembly Bill 3088
In California, tenants have protections until Jan. 31 2021, giving tenants impacted by COVID-19 an extra five months of eviction protection, one-month past the national eviction moratorium.
In what was a succinct 24-hour window to pass some of the most controversial housing bills, Governor Gavin Newsom signed Assembly Bill 3088. Residents must be able to prove that they have been impacted by COVID-19, and must be able to pay 25% of their rent starting in Sept., (Or not pay rent at all until Jan. 31 at which point they will only need to pay 25% of the total sum owed).
Any remaining unpaid rent between March 1, 2020 and Jan. 31, 2021 will be able to be recouped by landlords in small claims court beginning March 1, 2021, but eviction won’t be an option.
Residents who are facing evictions due to non-rent related issues such as complaints can be evicted as soon as the current moratorium ends in early Sept.