Six Reasons Why the Latest Stimulus Benefits Tenants

[Michael Gilman]

COVID-19 continues to hit the U.S. hard. There has been a lot of discussion as to what kind of impact, if any, the latest stimulus bill will have on tenants who are struggling to pay rent month-to-month.

We believe the stimulus bill will be a tremendous benefit.

Let’s break-down why the latest stimulus is great news for tenants:

1. A $25 billion emergency rental assistance program has been administered by the U.S. Department of the Treasury. These funds will be distributed directly to cities with populations of over 200k.

2. The funds are eligible for current or unpaid rent and utility payments (9 months of rent arrears; 3 months going forward) and other incurred housing expenses due to the pandemic. Assistance will be targeted to households that are below certain income levels.

3. Renters can apply for assistance from the administrative agency that is managing their program. Housing providers can apply for rental assistance on behalf of the resident, with their consent. Payments are sent directly to the housing provider.

4. Renters can receive an additional $300 per week in federal unemployment insurance and individual stimulus checks of $600 ($1,200 per couple and $600 per child).

5. The deadline has been extended in the CARES Act for states and localities to spend Coronavirus Relief Funds for one year. There will be an extension of the employee retention tax credit in the Low-Income Housing Tax Credit program. For more on the package, please visit the .

6. The CDC’s nationwide ban on certain residential evictions has been extended until January 31, 2021.

These resources, along with the emergency rental assistance, will be critical in helping renters meet their financial obligations during these trying times.

What are your thoughts on the stimulus and its effect on tenants? Tell us your thoughts in the comments!