Evictions halted for many Americans under new CDC order. Who does it apply to?

The Trump administration announced a new moratorium on evictions amid fears that millions of Americans would become homeless as a result of the coronavirus pandemic.

The four-month moratorium comes through an order from the Centers for Disease Control and Prevention. President Donald Trump directed the CDC last month to assess whether an eviction ban would help curb the spread of COVID-19.

White House officials on Tuesday announced the order, which applies to 43 million renters, Forbes reported.

That’s significantly more than the previous eviction moratorium through the CARES Act, which applied to 12.3 million people living in apartments or homes financed by federally backed loans through July 24, 2020, according to Forbes.

While there are no loan-related limits in the new moratorium, the CDC order doesn’t prevent landlords from charging “fees, penalties, or interest as a result of the failure to pay rent or other housing payment on a timely basis, under the terms of any applicable contract.”

In order to qualify under the new order, renters must meet these requirements:

• They must have used their “best efforts” to get government assistance for rent.

• They aren’t able to pay rent because of “substantial loss of household income, loss of compensable hours of work or wages, a lay-off, or extraordinary out-of-pocket medical expenses.”

• An eviction would likely lead to homelessness.

• They make $99,000 or less or $198,000 or less if filing taxes jointly, or they aren’t required to report income to the IRS, or they received a stimulus check.

Landlords across the country have been filing eviction notices as the first moratorium expired, and housing advocates have warned about an increase in homelessness.

Up to 40 million Americans could lose their homes due to evictions — four times the number during the Great Recession, CNBC reported.

As of Tuesday, 17 states and the District of Columbia put protections in place against evictions, said Emily Benfer, a Wake Forest Law professor who chairs the American Bar Association’s work on evictions, The Washington Post reported Tuesday.

“The eviction crisis is far from over, and in fact, it’s picking up speed,” Benfer told the publication. “They are paying with their futures. They are using credit cards and taking on financial risk. … They know without it they cannot keep their families safe.”

But there is likely a downside to the moratorium. The National Multifamily Housing Council said it would be detrimental to small landlords in particular, according to The New York Times.

“Not only does an eviction moratorium not address renters’ real financial needs, a protracted eviction moratorium does nothing to address the financial pressures and obligations of rental property owners,” Douglas Bibby, the association’s president, told the publication.

This story was originally published September 2, 2020 at 12:15 PM with the headline "Evictions halted for many Americans under new CDC order. Who does it apply to?."