The accessibility of rental assistance will be key to avoiding economic challenges as eviction moratoriums end.

Freddie Mac said federal and local moratoria in response to the COVID-19 pandemic largely prevented an eviction crisis involving property renters—but the amount of back rent still owed is a “concerning factor” going forward. The Freddie Mac white paper said as eviction moratoriums and renter protections lapse, Freddie Mac is encouraging renters and property owners to proactively understand and seek available rental assistance to help mitigate the remaining economic challenges as the country emerges from the pandemic. “While the steady return to normal pre-pandemic routines brings a sense of optimism, the economic impact of COVID-19 will have a lingering effect, particularly on renters who owe back rent and were protected by eviction moratoriums,” said Corey Aber, Freddie Mac Senior Director of Mission, Policy and Strategy. “We found that there is likely enough rental assistance available, and the deployment and accessibility of these funds is vital to supporting renters and property owners in need as the country transitions to a post-pandemic normal.” The paper discusses public policy actions taken to protect renters from eviction during the COVID-19 pandemic. The CARES Act eviction moratorium, which ended July 25, 2020, mandated that property owners could not file notices to vacate for non-payment of rent during the moratorium. Thereafter, property owners are required to provide at least 30 days’ notice to vacate. The CDC eviction moratorium took effect September 4, 2020; and the CDC announced June 24 that it would be extended through July 31. Under terms of the moratorium, eviction filings are allowed, but the property owner cannot evict if the renter provides a declaration certifying that the renter is making best efforts to obtain government assistance, among other items.

Source: Freddie Mac.