The Centers for Disease Control’s (CDC) national eviction moratorium ended on July 31, 2021, nearly a year after it was originally imposed. Shortly after it ended, on Aug. 3, the White House announced a new, targeted eviction moratorium in areas with “high or substantial transmission of COVID,” through Oct. 3, which the Supreme Court ended early.
While the eviction moratorium provided a safety net for tenants unable to pay rent due to COVID-19, it also made providing that housing unsustainable for many property owners. It is especially difficult for “mom-and-pop landlords” with just one to four units, who have to pay mortgages, taxes, insurance, and maintain their properties with less or, in some cases, no rental income. These mom-and-pop landlords represent more than 40% of the nation’s 48 million total rental units. They are found in every community, providing rental housing where it is otherwise difficult to find, and they serve an important function by providing housing to people who are not in a position to purchase a home.
The federal Emergency Rental Assistance Program (ERAP) holds promise for assisting both tenants and their housing providers who are struggling financially. However, delays in federal guidance for ERAP, followed by long waits for some state programs to launch and disburse funds, hindered its efficacy. Additionally, many states and localities structured their programs in such a way that it is difficult for housing providers to receive money, and there can be confusing and conflicting regulations across jurisdictions for applying and receiving the funds. There have also been challenges at the federal and state level communicating that this aid exists to both tenants and housing providers who would not otherwise have cause to work with federal or state agencies to receive aid.
Even with those complications, ERAP has successfully provided aid to hundreds of thousands of in-need households. With the eviction moratorium over, the Administration’s priority is spreading the word that aid is available—both to renters and housing providers—to ensure that no qualifying household or housing provider misses out. Swift and efficient disbursal of ERAP funds can provide stability to the market and prevent unnecessary eviction actions. In most states, housing providers are able to apply on behalf of tenants (with their permission), and they can receive direct payments to cover up to 18 months of rent, which includes several months of prospective rent for those who qualify.
Ideally, housing providers and tenants will work together to ensure that they receive all the aid they qualify for. To assist in that effort, the White House launched a call to action to raise awareness. They also created a multi-functional “toolkit” to help both renters and housing providers learn about available aid, who qualifies and how to apply for it: www.consumerfinance.gov/renthelp.
Housing providers were and are being harmed financially by the eviction moratorium, but they are also working with their tenants to find solutions, sometimes taking a loss themselves in the process. The emergency rental assistance program and other relief programs can go a long way toward keeping people housed and keeping struggling rental property owners above water, but people must take advantage of them while they are available.
Erin Stackley is senior policy representative, commercial issues, for the National Association of REALTORS®.
