Coronavirus: What you need to know about paying rent in the United States
With businesses being forced to shut down due to the coronavirus pandemic, many people have lost their jobs and cannot afford their rent.
The economy in the United States is taking a hard hit due to the coronavirus pandemic because many businesses have shut down in order to prevent the spread of the disease.
The situation means many people have lost their jobs, leaving them without financial means to sustain their families and pay for essentials like food or rent.
As renters and homeowners grapple with mass layoffs and business closures, housing advocates are growing increasingly concerned the country will soon face a housing crisis to rival the one that nearly took down the economy a decade ago.
Federal officials have imposed a nationwide restriction on foreclosures and evictions for more than 30 million Americans with home mortgages and rental payments due to the Covid-19 pandemic, a move which has been backed by the Federal Housing Administration.
Aid from local governments
Landlords are prohibited from evicting anyone who is unable to pay rent during this pandemic. The law was enforced so people have a place to stay and don’t have to worry about paying rent until the crisis is over and things have returned to normal.
If there is no legal documents between a renter and the landlor, then the renter is still protected from being evicted but they have to reach an agreement to eventually pay off the debt. A written contract must be drawn up which specifies that, once the crisis is over, the renter will have between 6 to 12 months to pay off the debt accrued from unpaid rent.
Another option for unemployed people is applying for welfare money under the Coronavirus Aid, Relief and Economic Security Act (CARES Act).
In order to receive this money there are certain requirements to fulfill. The most important ones are that an applicant must have done their taxes from 2018 and make less than $75,000 a year. If both requirements are fulfilled then that person will receive a total of $1,200 per month. Unemployed partners will also receive $1,200 per month, while approved applicants with kids will get an extra $99 per child.