A majority of landlords are private individuals own one or a few units. Most have mortgage loans to pay off. All pay property taxes. Almost all pay dearly for insurance. They are required by law to make needed repairs.
Where is the ban on mortgage foreclosures and the ban on property being seized for back taxes? Where is the ban on shutting off water, electricity, gas, phone, or cable for nonpayment? The ban on cancelling insurance for nonpayment?
Lots of evictions result from other things than being late on the rent. Perhaps a tenant caused serious problems. Maybe a landlord just wants their property back at the end of the lease. Maybe they, themselves, now need a place to live. Perhaps they must sell to avoid foreclosure on their mortgage, after a year with no rent coming in.
When the federal bureaucracy can alter the most basic terms of a simple lease, is any other contract safe? What will happen next is this: Landlords will sell their units, in today's hot real estate market, and mostly to buyers who want to live in them. This takes those units off the rental market. Rents are rising already, as a consequence, and will rise even more.
Everyone loses except those who did not pay their rent. They got to live rent-free for a year. Some are the same people who got more in unemployment insurance, all year long, than they were earning back when they worked. Some will get rental assistance and still have no obligation to use that money for the rent they owe. How is this fair?
There is a ban on mortgage foreclosures, and the eviction ban does not cover only renters, it is also protecting mortgage borrower's. However, a vast amount of those were in various states of foreclosure prior to covid. Some of them several years into the process and only steps away from final sale or judgement, to only be stopped cold by the moratoriums. The servicers now saddled with the cost of maintaining vacant properties which have already been through most of the foreclosure process including past lockout or eviction actions, and this is another factor driving housing costs through the roof. All of the homes that would typically be feeding back into the market via short sales and REO listings as well as auctions and sheriff sales. This has accounted for a HUGE reduction in affordable housing inventory.... Meanwhile the inventory of vacant homes is at record highs, many being poorly maintained, left with leaking roofs, broken windows, waist high grass, and truckfuls of interior and exterior debris. Has anyone also noted there is a huge uptick in suburban rat infestations? Harborage provided by abandoned and vacant homes,. Combined with thousands of restaurants being shuttered due to covid losses, and rodents are thronging into suburban neighborhoods in numbers never before seen. Ask any pest control company and they will tell you the increase in homeowners calling for rodent control is significantly increased to the point they can not cover all of the calls. There are countless butterfly affects to this eviction and foreclosure moratoria, and in the end, it is costs that will hit every working class pocket across the nation. Common sense legislation has left the building long ago in favor of blanket legislation, and law makers who, in an effort to appease small but loud complaints pass laws that no matter how well intended, end up creating havoc and financial losses (look at NY zombie laws for a good example ... One of the worst cases of legislation and government reaching into pockets to ever be created, under the guise of borrower protections... Yet slum lord's and property mismanagement are still an epidemic, and the servicers and landlords doing things by the book are burdened with additional coast into the hundreds of thousands. Even worse, as other cash strapped. Municipalities across the country get wind of these easy cash grab legislations, they are adopting their own versions... The property registratiin racket is getting to the point of no return for servicers. Cities like Patterson NJ are using it in an effort to literally drive property values into the ground enough to then necessitate city demo orders for entire blocks, to scrub their slates clean opening the gates for gentrification while filling those own coffers with permit and registration fees hand over fist. I cannot believe this has not been given the attention it really deserves and these moratoria are playing right into these hands. It is going to be the end of affordable housing in the suburbs, shifting any and all into government subsidized city housing on the cheap. God bless America.
I agree with you Shawn. At one point I owned several properties that I rented out and hoped that receipts would cover the mortgage payments. They never did. Between the midnight calls to fix the washer (the tenant had broken by washing work boots), water heater, air conditioner etc. which repair costs came from my pocket; the tenants who walked out after months of bouncing cheques and the tenants who wouldn't leave after non-payment of other lease violation; my legal fees for evictions and fighting trumped up "human rights" violations (you're throwing me out because I'm Fill-in-the-blank, all with total lack of support from government officials.
When looking at new tenants, here in Ontario, eviction records are open to the public; however, the names of tenants are stricken from the records. This means that they do not help you find out if a tenant has been through an eviction before. So its a crap shoot.
Needless to say I dumped the properties which went from housing nine families in rentals to 3 single family residences. That doesn't help the rental situation does it. And, I have to admit, I've discouraged others from doing the same. BTW the properties did appreciate buy after cap gain taxes and expenses for the years of renting I was worse off financially, mentally, and my view of humanity took a hit.
I don't know all of the details of the US legislation buy if landlords are on the hook for mortgages but have no rentals or subsidies I feel for them.
WRT the $15 minimum wage. If the current hourly wage is between $8 and $13 what should the effect be on tipping when everyone gets $15? Back to 15% from 20%? :)
A majority of landlords are private individuals own one or a few units. Most have mortgage loans to pay off. All pay property taxes. Almost all pay dearly for insurance. They are required by law to make needed repairs.
Where is the ban on mortgage foreclosures and the ban on property being seized for back taxes? Where is the ban on shutting off water, electricity, gas, phone, or cable for nonpayment? The ban on cancelling insurance for nonpayment?
Lots of evictions result from other things than being late on the rent. Perhaps a tenant caused serious problems. Maybe a landlord just wants their property back at the end of the lease. Maybe they, themselves, now need a place to live. Perhaps they must sell to avoid foreclosure on their mortgage, after a year with no rent coming in.
When the federal bureaucracy can alter the most basic terms of a simple lease, is any other contract safe? What will happen next is this: Landlords will sell their units, in today's hot real estate market, and mostly to buyers who want to live in them. This takes those units off the rental market. Rents are rising already, as a consequence, and will rise even more.
Everyone loses except those who did not pay their rent. They got to live rent-free for a year. Some are the same people who got more in unemployment insurance, all year long, than they were earning back when they worked. Some will get rental assistance and still have no obligation to use that money for the rent they owe. How is this fair?
There is a ban on mortgage foreclosures, and the eviction ban does not cover only renters, it is also protecting mortgage borrower's. However, a vast amount of those were in various states of foreclosure prior to covid. Some of them several years into the process and only steps away from final sale or judgement, to only be stopped cold by the moratoriums. The servicers now saddled with the cost of maintaining vacant properties which have already been through most of the foreclosure process including past lockout or eviction actions, and this is another factor driving housing costs through the roof. All of the homes that would typically be feeding back into the market via short sales and REO listings as well as auctions and sheriff sales. This has accounted for a HUGE reduction in affordable housing inventory.... Meanwhile the inventory of vacant homes is at record highs, many being poorly maintained, left with leaking roofs, broken windows, waist high grass, and truckfuls of interior and exterior debris. Has anyone also noted there is a huge uptick in suburban rat infestations? Harborage provided by abandoned and vacant homes,. Combined with thousands of restaurants being shuttered due to covid losses, and rodents are thronging into suburban neighborhoods in numbers never before seen. Ask any pest control company and they will tell you the increase in homeowners calling for rodent control is significantly increased to the point they can not cover all of the calls. There are countless butterfly affects to this eviction and foreclosure moratoria, and in the end, it is costs that will hit every working class pocket across the nation. Common sense legislation has left the building long ago in favor of blanket legislation, and law makers who, in an effort to appease small but loud complaints pass laws that no matter how well intended, end up creating havoc and financial losses (look at NY zombie laws for a good example ... One of the worst cases of legislation and government reaching into pockets to ever be created, under the guise of borrower protections... Yet slum lord's and property mismanagement are still an epidemic, and the servicers and landlords doing things by the book are burdened with additional coast into the hundreds of thousands. Even worse, as other cash strapped. Municipalities across the country get wind of these easy cash grab legislations, they are adopting their own versions... The property registratiin racket is getting to the point of no return for servicers. Cities like Patterson NJ are using it in an effort to literally drive property values into the ground enough to then necessitate city demo orders for entire blocks, to scrub their slates clean opening the gates for gentrification while filling those own coffers with permit and registration fees hand over fist. I cannot believe this has not been given the attention it really deserves and these moratoria are playing right into these hands. It is going to be the end of affordable housing in the suburbs, shifting any and all into government subsidized city housing on the cheap. God bless America.
I agree with you Shawn. At one point I owned several properties that I rented out and hoped that receipts would cover the mortgage payments. They never did. Between the midnight calls to fix the washer (the tenant had broken by washing work boots), water heater, air conditioner etc. which repair costs came from my pocket; the tenants who walked out after months of bouncing cheques and the tenants who wouldn't leave after non-payment of other lease violation; my legal fees for evictions and fighting trumped up "human rights" violations (you're throwing me out because I'm Fill-in-the-blank, all with total lack of support from government officials.
When looking at new tenants, here in Ontario, eviction records are open to the public; however, the names of tenants are stricken from the records. This means that they do not help you find out if a tenant has been through an eviction before. So its a crap shoot.
Needless to say I dumped the properties which went from housing nine families in rentals to 3 single family residences. That doesn't help the rental situation does it. And, I have to admit, I've discouraged others from doing the same. BTW the properties did appreciate buy after cap gain taxes and expenses for the years of renting I was worse off financially, mentally, and my view of humanity took a hit.
I don't know all of the details of the US legislation buy if landlords are on the hook for mortgages but have no rentals or subsidies I feel for them.
". . . nor shall private property be taken for public use, without just compensation." (Fifth Ammendment). I am sure we will hear more about this.
WRT the $15 minimum wage. If the current hourly wage is between $8 and $13 what should the effect be on tipping when everyone gets $15? Back to 15% from 20%? :)
https://www.ziprecruiter.com/Salaries/What-Is-the-Average-Waitress-Salary-by-State