No Fooling: Rent is Still Due Today
We sent this statement today to the media and business leaders in the city.
Elected Officials Must Show Some Leadership On COVID-19 Impacts and HousingContact: Roger Valdez, 206-427-7707
Many people and families are reeling from the impacts of the response to COVID-19, a response that is critical to save lives. Nothing like this has ever happened. People are scared, hurting, and looking for reassurance and help. Housing providers across the city are responding, and here’s an example.
However, now is not the time to ignore financial responsibilities, especially people who DO have resources to pay their bills including rent.
Eviction bans do nothing to help hard hit people to do this; in fact, the proposal by Councilmember Lorena Gonzalez to extend the ban 6 months beyond the end of the emergency and force housing providers to make interest and penalty free loans to people who can’t pay, is irresponsible. The impacts of COVID-19 have nothing to do with eviction, this is about deep and wide losses of income by hard working people.
We’ve explained in the attached letter that losses of rent revenue will create hardship and even foreclosure for some housing providers. The uncertainty created by the ban will impact housing finance and supply for months if not years. And finally, Gonzalez’ legislation and the posturing by Councilmember Sawant has stoked a “rent strike,” something not unlike looting. The rent strike advocates are using City issued moratorium as encouragement to not pay rent.
Elected leaders need to take a responsible approach during this time of crisis, not stoke animus and hostility toward housing providers. We urge state and local leaders to stop extending eviction bans and free loans from housing providers and concentrate instead on the following:
- Encourage communication between residents and housing providers in writing, over the phone, or via email. Providers will work with residents if they know there is an issue;
- Get banks and lenders together with residents and housing providers and encourage their forbearance on mortgages and loans and to develop low or no interest loans for 90 days for hard hit families;
- Require verification of loss of income for residents who have lost their job or seen their income fall;
- Require verification that residents are seeking assistance and making adjustments when they get that assistance; and
- Create sanctions for abuse by residents and providers when support is made available.
People have been coming together, helping each other, offering assistance, and even cheering each other on during this crisis. Now is the time to work together, not look for villains. We’ve seen housing providers offering help to their residents, including offering them alternative ways of keeping up with rent.
We urge elected officials to make a strong statement about the dangers of trying to make a statement by not paying rent. The Governor of Minnesota has issued a good model of how to communicate about these kinds of orders.