CDC Extends Eviction Moratorium to June 30, 2021

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CDC Extends Eviction Moratorium to June 30, 2021

Joe SplitrockPro Member
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Rental Property Investor · Sioux Falls, SD · Member since 2015 · 9k+ posts · 18k+ votes

This morning the CDC extended the eviction moratorium through June 30, 2021. 

The first stipulation states the tenant is making best efforts to secure assistance. Given the $50B that congress has allocated to rent assistance, it is hard to imagine that anyone that qualifies and tries wouldn't get assistance. It seems reasonable in my opinion to demand evidence of what efforts are being made to get assistance. 

I love the insanity of the income limits on the eviction order. It protects people who made up to $99K individual or $200K jointly in 2020. In other words during 2020 (the pandemic year) you could have a household making $16,000 per month and they could not pay rent claiming hardship! 

https://www.cdc.gov/coronaviru...

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https://www.cdc.gov/coronaviru...

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Nathan GesnerBusiness Member
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Real Estate Broker · Cody, WY · Member since 2010 · 28k+ posts · 41k+ votes
5y

There's no end to the nonsense. A study in Washington found that of the 212,000 tenants behind on rent, over 12% of them admitted to no loss of income. They are literally refusing to pay rent just because they can get away with it. I suspect 12% is probably conservative.

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  • Bjorn AhlbladPro Member
    Investor · Shelton, WA · Member since 2017 · 6k+ posts · 6k+ votes
    5y

    It warms my heart and swells my chest with pride just knowing my tax money is in good hands!

    30Reply
  • Joe SplitrockPro Member
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    Rental Property Investor · Sioux Falls, SD · Member since 2015 · 9k+ posts · 18k+ votes
    5y
    Originally posted by @Bjorn Ahlblad:

    It warms my heart and swells my chest with pride just knowing my tax money is in good hands!

     The government is not even consistent with their ideocracy. The last round of stimulus checks was capped at households making $150K per year, but you can make up to $199K and qualify for the eviction moratorium. 

    8Reply
  • Todd Rasmussen
    Rental Property Investor · Clarksville, TN · Member since 2016 · 1k+ posts · 1k+ votes
    5y
    Originally posted by @Joe Splitrock:
    Originally posted by @Bjorn Ahlblad:

    It warms my heart and swells my chest with pride just knowing my tax money is in good hands!

     The government is not even consistent with their ideocracy. The last round of stimulus checks was capped at households making $150K per year, but you can make up to $199K and qualify for the eviction moratorium. 

     It makes perfect sense. The CDC director makes 210K. It would have been unethical if she personally benefited from the moratorium.

    9Reply
  • Stephen Brown
    Real Estate Broker · Huntsville, AL · Member since 2019 · 1k+ posts · 872 votes
    5y

    I'm somewhat surprised they didn't extend it even further given all the talk of the P-1 mutation in Brazil! 

    1Reply
  • Phil Parris
    Member since 2020 · 5 posts · 18 votes
    5y

    I just saw this and it was very depressing.  Stimulus receiving, capable but non-paying tenants get yet another break. 

    Thanks Joe

    10Reply
  • Greg Franck
    Investor · Saint Louis, MO · Member since 2016 · 72 posts · 65 votes
    5y

    Is anyone hedging this with shorter duration leases for new tenants?  

    12Reply
  • Nathan GesnerBusiness Member
    Moderator
    Real Estate Broker · Cody, WY · Member since 2010 · 28k+ posts · 41k+ votes
    5y

    There's no end to the nonsense. A study in Washington found that of the 212,000 tenants behind on rent, over 12% of them admitted to no loss of income. They are literally refusing to pay rent just because they can get away with it. I suspect 12% is probably conservative.

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    31Reply
  • Joe SplitrockPro Member
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    Rental Property Investor · Sioux Falls, SD · Member since 2015 · 9k+ posts · 18k+ votes
    5y
    Originally posted by @Nathan Gesner:

    There's no end to the nonsense. A study in Washington found that of the 212,000 tenants behind on rent, over 12% of them admitted to no loss of income. They are literally refusing to pay rent just because they can get away with it. I suspect 12% is probably conservative.

     Only 12% admitting to lying and the other 88% said, I swear I was affected by COVID (wink wink).

    11Reply
  • Colleen F.Pro Member
    Investor · Narragansett, RI · Member since 2013 · 8k+ posts · 4k+ votes
    5y

    The data they based the risk on is also questionable. They used comparison between states that lifted their moratoriums between March and September 2020 with those that did not,  with limited controls of state differences.  They didn't support a moratorium by comparing Covid incidence in people who were evicted with those who were not evicted which might make some sense and the time period of comparison is not relevant to current circumstances where there are vaccines and decreased unemployment.  Most importantly it they did not even suggest they would tie the end of the moratorium to anything objective.   

    I like this part of the justification " I hereby conclude that immediate action is again necessary without prior notice and comment and without a delay in the effective date."  Like they didn't see it coming...its their moratorium.

    5Reply
  • Pranav G.
    Investor · Blackwood, NJ · Member since 2015 · 91 posts · 36 votes
    5y

    agreed with Phil Parris

    0Reply
  • Todd Rasmussen
    Rental Property Investor · Clarksville, TN · Member since 2016 · 1k+ posts · 1k+ votes
    5y
    Originally posted by @Greg Franck:

    Is anyone hedging this with shorter duration leases for new tenants?  

     We aren't renewing any leases for tenants we have concerns about (non screened, inherited). New tenants are getting 1 year leases.

    3Reply
  • Peter M.
    Rental Property Investor · DFW, TX · Member since 2013 · 953 posts · 910 votes
    5y

    @Joe Splitrock Landlords are evil money grubbing cretins and deserve what they get. They don't need government protection when they can just take money from their gold filled swimming pools a la McDuck style. Thank God the government is protecting the little guy from those monsters.

    16Reply
  • Nathan GesnerBusiness Member
    Moderator
    Real Estate Broker · Cody, WY · Member since 2010 · 28k+ posts · 41k+ votes
    5y
    Originally posted by @Peter M.:

    @Joe Splitrock Landlords are evil money grubbing cretins and deserve what they get. They don't need government protection when they can just take money from their gold filled swimming pools a la McDuck style. Thank God the government is protecting the little guy from those monsters.

     The reality is, they are killing off mom-and-pop investors, which means the large corporations will just continue to grow. What happens when renters have no choice but to rent from one of a few national companies? Government did the same thing with brick-and-mortar businesses that were forced to shut down while everyone was forced to shop at Walmart and Amazon. 

    Government does NOT care about the little people.

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    25Reply
  • Peter M.
    Rental Property Investor · DFW, TX · Member since 2013 · 953 posts · 910 votes
    5y

    @Nathan G. I know you could sense my dripping sarcasm and you are right, it isn't a laughing matter but its how I deal with things out of my control. You can agree here are worse ways people could channel their frustrations with the government overreach. Like most things government, the intention may be well placed but the consequences are short sighted. And the rich are just doing what they always do by taking advantage of a situation to enrich themselves. Its the golden rule: he who has the gold makes the rules.

    9Reply
  • Aj Parikh
    Rental Property Investor · Centreville, VA · Member since 2019 · 1k+ posts · 799 votes
    5y

    I am in Fairfax County, VA and we have a landlord assistance program but the requirement is that the tenant has to sign a form and submit pay stubs. I don't know how any tenant who has not been paying rent would help out a landlord to get funds. For example, my tenant has not paid rent in the past 3 months and has refused to answer calls, texts or emails and has not followed any of the notices we have posted on her front door.

    6Reply
  • Davy Jay
    Rental Property Investor · Jamaica, NY · Member since 2016 · 7 posts · 3 votes
    5y

    @Joe Splitrock the madness continues!!!

    2Reply
  • John UnderwoodPro Member
    Investor · Greer, SC · Member since 2014 · 13k+ posts · 17k+ votes
    5y

    I just filed an eviction last week with no trouble. I just had to fill out an additional form stating that I didn't have a Fannie or Freddie loan and wasn't receding any federal aid like section 8 on the property. 

    Red State:)

    9Reply
  • Steve B.
    Engineer · Portland, OR · Member since 2014 · 1k+ posts · 1k+ votes
    5y

    @Nathan G.

    That’s exactly right. The end result of all these obstacles and regulations will be consolidation and regulatory capture by the very big players that have enough money and direct political influence to work around this nonsense and stay profitable. Endgame is more mom and pop’s are driven out of the rental business and renters will be paying more for less.

    6Reply
  • James Hamling
    Real Estate Broker · Minneapolis, MN · Member since 2011 · 5k+ posts · 6k+ votes
    5y

    @Joe Splitrock @Nathan Gesner if you thought this circus act was the whole show..... CDC just released an "official" report of findings on the source of the covid-19 virus. Best part, lol, it's a "joint venture" study with China, give ya 1 guess who it says ISNT at fault in any way shape or form..... It's a great read, it really clarifies things that officially, it probably came from a bat, to something else, to a person, somewhere, most DEFINENTLY not a leak from a lab in China (I kid you not, it actually says that). 

    Have any of you seen the movie Idiocracy? You know, where Terry Crews is "President Komacho". Why do I feel like it's coming true......... 

    13Reply
  • Gary L Wallman
    Rental Property Investor · Beavercreek OH · Member since 2018 · 422 posts · 970 votes
    5y

    I was under the impression that a federal judge found the CDC's eviction moratorium unconstitutional and issued an order preventing its enforcement. What gives?

    Is our government openly flouting a judge's order? This eviction moratorium may not be enforced, yet it is extended.

    It sure seems like the rule of law and the constitution our republic was founded upon are constantly ignored by our political leaders. Banana republic anyone?

    As a patriot and a believer that our government is by our consent, I'm a bit sick to my stomach.

    5Reply
  • Matthew K.
    Investor · Pittsburgh, PA · Member since 2020 · 36 posts · 16 votes
    5y

    Three federal judges declared it unconstitutional, however The US Supreme Court has not ruled on it, so it remains in place.  Also, because it takes 6+ months for the Supreme Court to put something on their docket and this is supposed to expire in June (even though it will most likely run past), it will never see the light of day there.  Unfortunately, our government has found a loophole to keep this on the books.  

    2Reply
  • Matthew K.
    Investor · Pittsburgh, PA · Member since 2020 · 36 posts · 16 votes
    5y

    I think we need a plan with how we can get this removed.  Does anyone have any suggestions? 

    1Reply
  • Jonathan R McLaughlin
    Rental Property Investor · Boston, Massachusetts (MA) · Member since 2016 · 2k+ posts · 2k+ votes
    5y

    @gary 

    @Gary L Wallman district judges don't make law or precedent. 

    2Reply
  • Matthew Irish-JonesBusiness Member
    Real Estate Agent · Buffalo, NY · Member since 2017 · 2k+ posts · 2k+ votes
    5y

    @Joe Splitrock the government is going to create a black market for evictions. Landlords are going to stop fixing things, stop addressing life and safety issues or worse, handle evictions outside the courts.

    You can be sued for triple damages to a tenant for not fixing a life and safety issue. At what point is triple damages less than months and months of non payment... we are probably at that point

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  • Mike Dymski
    Investor · Greenville, SC · Member since 2016 · 5k+ posts · 13k+ votes
    5y

    I don't understand why residents can't pay rent due to COVID.  With the stimulus packages, unemployment benefits were ~$1000 per week for much of 2020 and now are ~$700 per week.  And there is loan forbearance for all types of debt along with extra stimulus checks and child tax care credits.  94% of people are employed.  Savings are at all time highs.  What is the fact pattern for non-payment due to COVID?  I am all ears if there is something I am missing.

    11Reply
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