The Economic Burden of Rent Moratoriums During the Pandemic

Abstract

Instructor’s Name The Covid 19 pandemic brought to a halt many institutions and businesses causing a global crisis. It caused hardship that most tenants were unable to pay rent. Following the pandemic, the Centers for Disease Control and Prevention (CDC), announced the temporary halt of residential evictions as stipulated in the Public Health Service Act section 39. This was to executive measures such as isolation, social distancing, and quarantine. This eviction moratorium was not rent forgiveness but the tenants were not be evicted before March 2021. Rent moratoriums greatly helped in curbing the spread f the pandemic. It spared families’ painful evictions and exposure to Covid 19. It also helped in safeguarding hundreds of thousands of people who were at risk of losing their accommodation. People resorted to lockdowns and rent moratoriums helped in shielding people before the pandemic could subside. However, the rent moratorium is a burden to landlords since it leaves them struggling to pay their debts. Landlords paying mortgages. Most tenants have a history of not paying and extending their stay would cause much worse to the landlords since it would be an excuse never to be resolved. Small business owners are subjected to losses and huge debts. Eviction moratoriums seemed a burden to the government in policy making and paying landlords the $46 billion in the tough economic situation. the debate on eviction moratoriums has stirred many issues creating confusion on the powers and authority of CDC and congress making the issue difficult to discuss. Eviction moratoriums are an economic burden than a solution considering the effects that emanate. With this assertion I do not concur with rent moratorium since it’s not a long-term solution. Its unfortunate that the tenants will still end up paying the rent despite the...