Eviction reprieve ends soon for renters
Sarah Skidmore Sell
Renters are nearing the end of their financial ropes.
People who rent have largely been able to survive the initial months of the pandemic helped by unemployment and federal relief checks. But the extra $600 in unemployment benefits ceases at the end of July and local eviction moratoriums are expiring. There is no agreement between the White House and Congress on a second federal relief package.
There are fewer supports in place for renters than for homeowners. As a jump in virus cases in numerous states nationwide adds more uncertainty to the economy and job market, many who rent are facing a precarious future.
“It’s an incredibly stressful situation for renters,” said Bruce McClary, spokesman for the National Foundation for Credit Counseling, a nonprofit that works with consumers. “I don’t know what lies in the road ahead.”
Sam Moore knows this pressure well. Shortly after the stay-at-home orders hit in California, Moore and his four roommates who live in San Francisco’s Treasure Island had no regular income. Only two received relief checks from the federal government, one was receiving unemployment and two are still waiting on it.
They had to decide whether to use money to cover rent or food; they chose to stop paying rent. They eventually used a GoFundMe campaign to raise the roughly $10,000 needed to pay the back rent for April through June plus the $2,500 bill due for July.
The group, all in their early 20s, are looking for work but will have to move in with their families if they aren’t able to find jobs and face eviction.
Renters already faced a dire situation before the pandemic hit, said Alexander Hermann, a researcher at the Harvard Joint Center for Housing Studies. The center reported in January that vacancy rates for rentals had hit the lowest level in decades, pushing up rent far faster than income. At last count, one in four renters spent more than half their income on housing.
Then came the pandemic, which hit renters particularly hard financially. U.S. Census data showed about 19% of renters were late or deferred their rent payments in May. About 31% of renters surveyed in June said they have little to no confidence they will be able to pay next month’s rent.
If possible, tenants should keep paying rent. Reach out to your landlord or property owner if you are having financial difficulties to see if an agreement can be made. Some are willing to negotiate discounted or deferred payments. If you live in federally subsidized housing and your income has changed, you might qualify for a rent reduction; contact your housing authority to talk about income recertification.
A number of cities and states have put some assistance programs in place, as well as moratoriums on evictions amid the pandemic.
See if you qualify for help. The National Low Income Housing Coalition has a list of state and local rent assistance programs on its website. United Way’s 211.org website also has links to local charitable assistance for housing, food and other essentials.