Biden to extend limits on evictions, foreclosures
Current rule was to expire at the end of January
President Joe Biden is extending federal limits on evictions through at least the end of March.
Biden is expected to move quickly to extend protections for renters, Bloomberg reported, and may sign an executive order within hours of his inauguration. Biden will also ask federal agencies to consider extending foreclosure protections and forbearance options.
The existing federal eviction order, in place since September, allows lower-income renters to claim financial hardship as a defense for an eviction for non-payment. It does not, however, preclude states from passing more comprehensive eviction bans, as New York state did in December.
The reduction in economic activity to stem the spread of the coronavirus has left landlords with mounting unpaid bills. Moody’s estimates that landlords are owed $57 billion in back rent, utilities and fees.
Meanwhile, the nation’s poverty rate has risen steeply in the U.S. since some federal aid benefits expired, according to economists from University of Chicago, University of Notre Dame and Zhejiang University. From June to November, the portion of Americans in poverty rose by 2.4 percentage points, or 7.8 million people, to 11.7 percent in November.
[Bloomberg] — Georgia Kromrei