New York State, among other states, has taken action to halt evictions during the current pandemic. New York’s Chief Administrative, Judge Lawrence Malks, stated in a memo that starting Tuesday, eviction proceedings and pending eviction orders will be suspended statewide until further notice.
The White House also issued a press-release stating HUD, Freddie Mac and Fannie Mae will suspend foreclosures to the end of April. If the health crisis continues at this level, that won’t be enough.
That’s roughly one monthly mortgage payment for some mortgages.
If evictions are postponed indefinitely, but mortgage lapse has a time limit until the end of next month, the gap is concerning. Landlords, rightly so, worry that if renters are unable to pay longer term, then how will the property owner pay their lender? Small-scale proprietors making up the difference isn’t a solution, another adjustment will have to be made in the near future.
Are there additional actions that can be made in the longer interim? Comment below with any beneficial thoughts, opinions or solutions.
*Because of the fast-changing pace of information during this time, all details above may be outdated based on new reports.*
Additional Resources:
https://therealdeal.com/2020/03/15/new-york-halts-evictions-statewide-due-to-coronavirus/
https://therealdeal.com/2020/03/13/chorus-for-moratorium-on-evictions-grows-louder-in-new-york/
https://www.curbed.com/2020/3/18/21185666/coronavirus-foreclosure-eviction-moratorium-trump-hud
https://www.usatoday.com/story/money/2020/03/18/fannie-mae-freddie-mac-suspend-foreclosures-covid-19-response/2866184001/