People and students from Boston’s Worker’s Circle and members of City Life Vida Urbana demonstrate to rally support for Bill HD3030, which aims to stop evictions during the ongoing coronavirus pandemic, at Massachusetts State House in Boston March 14, 2021.
Jim Davis | Boston Globe | Getty Images
Sabrina Floyd doesn’t know where she and her 3-year-old daughter Emeri will go if they are evicted from their home in Las Vegas in late June.
After months of unemployment due to the pandemic, the single mother has finally found remote work for a loan company and is also in the process of applying for financial assistance to cover her rent arrears.
But it may be too late.
The Centers for Disease Control and Prevention’s national deportation ban is lifted in 20 days.
âI can’t afford a hotel,â said Floyd, 27. “And you can only be there for so long.” So where are you going?
She fears that the recent progress she has made will be swept away. âIf I work from home and lose my house, I have nothing,â she said. “It looks bleak right now as far as the future.”
Sabrina Floyd and her daughter Emeri.
Courtesy of Sabrina Floyd
An unprecedented wave of deportations could befall the United States when the CDC’s national moratorium on deportations expires at the end of this month. The ban was first issued in September 2020 under the Trump administration and President Joe Biden has since extended it twice.
There is no sign that he will do it again.
Even as the pandemic fades and signs of a return to normalcy return, more than 10 million Americans, or 14% of American renters, are still behind on their housing payments, according to a recent analysis by the Center. on Budget and Policy Priorities.
And more than 40% of those behind say it is “quite likely” or “very likely” that they will have to leave their homes within the next two months due to an eviction.
The CDC’s moratorium on evictions has faced numerous legal challenges and landlords have criticized the policy, saying they cannot afford to house people for free or shoulder the country’s massive rent arrears, which could reach $ 70 billion.
Still, housing advocates say the ban is lifted at a terrible time for landlords and tenants. States are scrambling to distribute the $ 45 billion in rent assistance allocated by Congress. This funding is unprecedented: tenants received just $ 1.5 billion during the Great Recession, according to the National Low Income Housing Coalition.
âWe’re just getting to a point where the jurisdictions are paying the money to tenants and landlords,â said Ann Oliva, senior member of the housing team at the Center on Budget and Policy Priorities.
More from Personal Finance:
Advisors feel drawn to cryptocurrency wave as clients express interest
His book examines the history of money and explains the obsession with cryptocurrency
Divorcing spouses use cryptocurrency to hide money. How the experts find it
For example, DeKalb County in Georgia distributed just 3.5% of its rent assistance funds this month.
“We have to let this moratorium stay in place until we spend all this money,” Mark Melton, a lawyer who represented tenants in Dallas, told CNBC in May.
âIf you bail out the tenant, that means you bail out the landlord,â he said.
Who is at risk?
Eviction rates are likely to be higher in some states than in others.
For example, 26% of renters are behind on their housing payments in Mississippi, compared to 7% in Oregon, according to CBPP analysis.
In an interview last month, Alicia Mazzara, senior research analyst on CBPP’s housing policy team, said there were several reasons for these disparities.
âSome states were already facing greater housing affordability issues before the pandemic,â she said.
“Another likely factor would be the state’s economy – for example, we know that the pandemic has caused a very high concentration of job losses in the restaurant and hotel industry,” Mazzara added. “The jobs most affected by the pandemic may represent a larger share of some state economies than others.”
Nationwide, black renters are more than twice as likely to be behind on rent as white renters. âThe pandemic has exacerbated racial inequalities,â Mazzara said.
Households with children are also twice as likely to report difficulty paying their rent as households without them. âPeople with children have to rent bigger houses and apartments, which are more expensive,â Mazzara said.
Single parents who are renters, the majority of whom are women, face some of the highest hardship rates, with over 26% saying they are not caught up on their rent.