The End of the Eviction Moratorium
Ding dong the eviction moratorium is dead! At least as we know it!
Gov. Holcomb announced Wednesday that he intends to allow the Indiana rental property eviction moratorium to expire on August 14! We all were caught a little by surprise with the announcement after Congress did not extend the $600 per week supplemental unemployment insurance program which expired July 31. In the announcement Holcomb said tenants who are behind on their rent should immediately contact their landlords to work out payment plans.
There is a big asterisk with this news. A settlement facilitation program for those facing eviction or foreclosure is being developed. Specifics are expected in the next few weeks. Our attorney, along with others, expect that if a tenant asks for assistance and enrolls in this program it may include some kind of mandatory mediation. Such agreements might include renegotiation of unpaid rent or possibly vacating of the home with no further liability. We will keep our clients informed as we learn more.
Statewide, an estimated 44% of rental households are unable to pay rent and are at risk of eviction, according to a July 31 analysis by the investment banking company Stout Risius Ross, LLC.
We are coordinating a plan that will have all of our eviction cases filed electronically at 12:01am on August 15. Many of your cases were scheduled before the moratorium and we are hopeful those cases will have a priority as to timing. Of course, there is the issue of just how much the under-funded courts can process. So, while this is good news don’t expect a quick resolution to your ongoing delinquency cases. We will do all we can to try and get possession as quickly as possible.
Buyer Behaviors Changing From COVID-19
The National Association of Realtors has researched agents and buyers in the last few weeks that shows changes in buyer behaviors. Here are the conclusions.
- Buyers are in a rush.
- Wish lists are shifting to home offices and more outdoor space.
- Buyers are less concerned about commutes.
- Multi-generational households may become more common. We might think twice before we let our parents move into a facility.
- Pets may drive purchase decisions. Investors- pets have always been a factor in rental decisions. It is becoming more important to be pet friendly!
- A first-time buyer wave may be coming. Young people able to work from anywhere and not as attracted to dense urban life may be a trend.
- Housing tenure may fall. Why? Were you totally happy in your residence when we were shut in? Many were not.
Interesting reading for all who are interested in the residential housing market. Read the full article here.
Indianapolis Rental Assistance Program Update
You may have heard that the state added $15 million to the rental assistance program. Remember, the state program covers all the state except Indianapolis-Marion county. The Indianapolis-Marion County program, as of today, is still suspended. We have received approvals and rejections for all tenants who applied. If your tenant was approved we have let you know. Otherwise, we will be moving forward with collection efforts on August 15.
That’s all we know for now. Maybe some good news this week-a path to the future so we can return your delinquent properties to positive cash flow.