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The Centers for Disease Control Halts Rental Evictions Through December 31, 2020

#1 · September 2, 2020, 2:34 pm

Quote from Savings Beagle on September 2, 2020, 2:34 pm
Financially, things are still not good for many Americans.

And in a sign of the times, both economically and politically, we now have this announcement.

Yesterday, the Centers for Disease Control and Prevention has invoked its authority to halt rental evictions through December 31, 2020.

Some, like I, may wonder why the CDC is making this call to temporarily halt residential evictions rather than the U.S. Congress...or even President Trump, even though his authority to do so would be questionable?

Well, likely, it's because of the partisan logjam in Congress. And it's President Trump's way to implement a moratorium on rental evictions through a somewhat more legal avenue than just ordering it himself.

This is a result of President Trump's recent executive order that asked the CDC and Department of Health and Human Services to consider whether eviction-halting measures were necessary to help with the Covid-19 pandemic.

The CDC is able to implement this moratorium order as a way to "prevent the further spread of COVID-19." You can read the full CDC moratorium document at this link.

If you're in a position where a rental moratorium may be necessary, here's what you need to know.

Specifics of the Order

Order applies to individuals with income of $99,000 or less or couples filing jointly with total income less than $198,000

Must show efforts to seek government rent or housing assistance have been made

Must show that rent payments cannot be made due to the impact of the pandemic

Must demonstrate that they are likely to become homeless or move into congregate housing if evicted

Those seeking rental payment relief must present their landlord with a declaration document (stating the above points) that will be available on the CDC website. A draft of the document can be viewed at the bottom of the moratorium document linked above until the official document is added to the CDC website.

Even though this moratorium is likely necessary to help many Americans who are struggling financially due to the pandemic and government-related shutdowns, it's not without controversy.

As I've mentioned a few times before in Covid-related posts, landlords, whether they own one house, a 2-apartment building or a 40 apartment building, have been given no assistance or moratorium for their mortgage and tax obligations.

So if renters are able to forego rent payments, how are the owners of these properties supposed to pay what they owe? Yes, maybe they can go a month, maybe two, without full payments, but like most small businesses, landlords don't have huge reserves from which to pull. They depend on those rent payments to stay current themselves.

Don't be surprised if lawsuits are filed in the near future regarding this moratorium order. We'll have to wait and see how implementation of this order is affected.

Financially, things are still not good for many Americans.

And in a sign of the times, both economically and politically, we now have this announcement.

Yesterday, the Centers for Disease Control and Prevention has invoked its authority to halt rental evictions through December 31, 2020.

Some, like I, may wonder why the CDC is making this call to temporarily halt residential evictions rather than the U.S. Congress...or even President Trump, even though his authority to do so would be questionable?

Well, likely, it's because of the partisan logjam in Congress. And it's President Trump's way to implement a moratorium on rental evictions through a somewhat more legal avenue than just ordering it himself.

This is a result of President Trump's recent executive order that asked the CDC and Department of Health and Human Services to consider whether eviction-halting measures were necessary to help with the Covid-19 pandemic.

The CDC is able to implement this moratorium order as a way to "prevent the further spread of COVID-19." You can read the full CDC moratorium document at this link.

If you're in a position where a rental moratorium may be necessary, here's what you need to know.

Specifics of the Order

Order applies to individuals with income of $99,000 or less or couples filing jointly with total income less than $198,000
Must show efforts to seek government rent or housing assistance have been made
Must show that rent payments cannot be made due to the impact of the pandemic
Must demonstrate that they are likely to become homeless or move into congregate housing if evicted

Those seeking rental payment relief must present their landlord with a declaration document (stating the above points) that will be available on the CDC website. A draft of the document can be viewed at the bottom of the moratorium document linked above until the official document is added to the CDC website.

Even though this moratorium is likely necessary to help many Americans who are struggling financially due to the pandemic and government-related shutdowns, it's not without controversy.

As I've mentioned a few times before in Covid-related posts, landlords, whether they own one house, a 2-apartment building or a 40 apartment building, have been given no assistance or moratorium for their mortgage and tax obligations.

So if renters are able to forego rent payments, how are the owners of these properties supposed to pay what they owe? Yes, maybe they can go a month, maybe two, without full payments, but like most small businesses, landlords don't have huge reserves from which to pull. They depend on those rent payments to stay current themselves.

Don't be surprised if lawsuits are filed in the near future regarding this moratorium order. We'll have to wait and see how implementation of this order is affected.