Landlords in the United States are calling the government's attention to ante up money for their missed rent payments during this pandemic. They said that the eviction ban laws provide only scant help for owners of the properties, and it will only do a little to stave off foreclosures as their bills are continuing to pile up.
Executive director for Landlords, Doug Quattrochi, shared that he was sad because no one cares as he mainly represents micro and independent property owners.
He also stated that there is no considerable interest regarding the possible avoidance of the massive wave of evictions that is about to happen. He shared that landlords are currently going out of business and will be selling their properties to numerous corporate developers who are just waiting for their perfect moment to bite, Lowell Sun reported.
With no government intervention, a tidal wave of evictions is inevitable. Thus, the executive director has outlined a plan that would levy a 1 percent tax on single-family real-estate transactions as it will sum up to an estimated $300 million each year, which is ideal to guarantee missed rents.
In Quattrochi's estimation, the idea can make landlords whole within a five-year-period. Still, his biggest challenge as of the moment is to find a lawmaker willing to sponsor his suggested legislation.
According to The Boston Herald, a similar plan was also outlined by the Citizens' Housing and Planning Association, which, based on their target, could draw $215 million in funds coming from the federal coronavirus relief.
Due to the involved amount of money, Quattrochi shared that eviction is not only a terrible disaster for tenants but also for landlords. However, he shared that current safeguards have left landlords with only a few other options as the eviction moratorium will be expiring at the end of the week.
According to a report, the National Multifamily Housing Council recorded a 12 percent increase in the percentage of unpaid rents during this pandemic, but according to Quattrochi, the number is almost double in his membership, which is composed of mom and pop landlords who are owners of an average of nine to under 20 units.
Based on a Mass Landlords survey, the group which has 1,900 members comprised of small landlords, as of September, 20 percent of them had tenants who missed some of their rent payments. Some even missed all of it, Fox reported.
And, because of the recorded percentage, almost a quarter among 116 members of Mass Landlords, who were surveyed during spring, stated that they were falling behind on their payments and bills.
Owner of the property, Leo Sheehan from Falmouth, mentioned that it means $5,600, and he is out, as he prepares to sell the condominium in New Bedford, which he has rented for the most of a decade. He also served his mostly late-on-rent tenants eviction notices two weeks before the COVID-19 pandemic hit.
Sheehan also shared that he tried to work with his long-term tenant, but since the state's eviction moratorium was imposed in April, his tenant never answered his calls.