Eviction Moratoriums and Rent Forbearance: First Guardian Group / FGG1031 Weighs in on Who Wins and Who Loses Post-Coronavirus

SAN JOSE, Calif., June 11, 2020 /PRNewswire/ -- In a recent post on FGG1031.com, Paul Getty discussed how the impacts of the COVID-19 pandemic had moved many states including California to issue executive orders prohibiting evictions for renters who could substantiate their inability to make rent payments due to the financial effects of the virus. Questions abound now about how tenants and landlords will fare in a post COVID-19 world.

The eviction and foreclosure moratoriums issued by state and local governments vary widely from one state or municipality to another and they offer different degrees of protection in both length of time and in scope. A scorecard created by Eviction Lab and Columbia Law School's Professor Emily Benfer helps distill the myriad of emergency orders and declarations that have gone into effect across the country and provides a state-level view of all rules and legislation related to eviction protection.

The importance for tenants and landlords to understand these variations cannot be overstated. For example, on April 30, 2020, the City of Santa Monica, California issued a revised emergency order extending the end date for the moratorium from May 31 to June 30, 2020. In addition, it extended from six to twelve months the time for residential tenants to pay rents that were unpaid during the moratorium period due to financial impacts of COVID-19.

Conversely, at the time this article was written on May 21, 2020, the state of Texas had not extended its moratorium on evictions, which by law, were set to expire on May, 18, 2020. That inaction may have left a large percentage of the state's 1.3 million recent unemployment claimants unprotected from potential eviction action.

For landlords seeking to protect their ownership and rental income during this crisis, resources like the National Apartment Association and state-specific organizations like the California Apartment Association (CAA) can be beneficial for landlords seeking guidance on how they can protect their interests in the same way renters want to.

The landlord-tenant relationship will certainly get tested in the ensuing months, and only by a collaborative and intentional effort of working together will each of these parties emerge on the other side of the pandemic on stable footing and with confidence to move forward.

For more information on this topic, please contact FGG1031:
[email protected] 
www.fgg1031.com
(866) 398 -1031

SOURCE First Guardian Group / FGG1031