National Real Estate Investors Association (NREIA)
(Charles Tassell, Jeff Watson, and Jeffrey Greenberger )
Attorneys talk about the CDC home eviction moratorium. As a landlord, what should you be doing? What can you do?
This is a 50 minute recording. There are nuggets to gleam from the various discussions, questions, etc., that pertain to all landlords.
The Centers for Disease Control and Prevention (CDC) has issued an order temporarily halting residential evictions of any consumers for 'failure to pay rent', until December 31, 2020. This action is in response to President Trump’s August 8, 2020, “Executive Order on Fighting the Spread of COVID-19, by Providing Assistance to Renters and Homeowners”, which instructed the CDC to “consider” whether temporarily banning residential evictions is “reasonably necessary” to prevent further spread of COVID-19. This order was published (September 4, 2020) in the Federal Register, and is now in effect.
According to the order, renters must file sworn declarations stating they are eligible for this relief because:
This order does not relieve any individual of any obligation to pay rent nor does it prevent the “charging or collecting of fees, penalties, or interest as a result of the failure to pay rent or other housing payment on a timely basis." Further, landlords and property managers still have the ability to evict for health and safety reasons.
The Manufactured Housing Institute (MHI) continues to work with a coalition of leading national housing industry associations to ensure residents and landlords are supported as they deal with economic hardships posed by the protracted pandemic. MHI is arguing the best way to protect the housing of those residents who have been impacted by COVID-19 is through robust financial assistance such as an emergency rental assistance program or other programs designed to keep residents from ever missing rental payments.
On Thursday, MHI, along with a coalition of 11 other national housing industry associations, sent a letter to Congress urging policymakers to come together on a robust, targeted federal rental assistance plan to support the nation’s renters and housing providers.
In light of this new/additional CDC Agency Order relative to the eviction process, THA highly encourages you to contact your corporate/personal business attorney or a local attorney before you decide to initiate an eviction action against a resident, in the current environment. Overlaying federal, state and county laws or restrictions on the judicial process may apply. This includes: issuing a notice to vacate, initiating any eviction-related action, or assessing fees or penalties on residents for nonpayment of rent or other lease violations.
If your community has a federally backed loan, evictions are currently prohibited.
Multifamily Mortgage Forbearance Under the CARES ACT
Provides up to 90 days of forbearance for multifamily borrowers with a federally backed multifamily mortgage loan (Fannie Mae, Freddie Mac or HUD) who have experienced a financial hardship. Borrowers receiving forbearance may not evict or charge late fees to tenants for the duration of the forbearance period.
Temporary Moratorium on Eviction Filings Under The CARES ACT
A 120-day moratorium on evictions beginning on the date of enactment. Landlords are prohibited from initiating legal action to recover possession of a rental unit or to charge fees, penalties, or other charges to the tenant related to such nonpayment of rent where the landlord’s mortgage on that property is insured, guaranteed, supplemented, protected, or assisted in any way by HUD, Fannie Mae, Freddie Mac, the rural housing voucher program, or the Violence Against Women Act of 1994.
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