FREE Rent For 90 Days? New Laws Explained.

TL;DR

New laws are being proposed that could allow tenants to not pay rent for 90 days, potentially setting a precedent for other states.

Transcript

so earlier this week I had the pleasure of sitting down with a friend of mine who is a real estate investor in the local area and he's also a practicing attorney so he's always able to fill me in on some great information related to real estate investing and things in the legal side of real estate tenants landlords etc and if you guys want to check... Read More

Key Insights

• 🥳 New laws may allow tenants to avoid paying rent for 90 days, leaving landlords to bear the financial burden.
• 🤕 California and New York are the first states to implement eviction bans, with other states and cities likely to follow.
• 👪 Landlords are left responsible for mortgage payments while tenants don't have to pay rent, putting financial strain on landlords.
• 👪 Landlords may have to negotiate with lenders for mortgage relief during the period tenants are not required to pay rent.
• 👪 Tenants who are affected financially by the crisis are advised to file for unemployment and communicate with their landlords about partial rent payments or alternative arrangements.
• 🤕 Eviction bans, while providing temporary relief for some, may have long-term consequences for landlords and the overall financial system.
• 👪 The proposed rent relief bill in New York could exempt tenants from paying rent for 90 days, putting strain on landlords who rely on rental income for mortgage, taxes, and other expenses.

Questions & Answers

Q: How long does the eviction process take in California and New York?

In California, the eviction process takes 45 to 75 days. In New York, it takes one to two months.

Q: Are other states likely to follow California and New York in implementing eviction bans?

Yes, many other states and cities are discussing or implementing eviction bans, such as Florida, Seattle, Boston, and Kentucky.

Q: How are landlords affected by these eviction bans?

Landlords are left responsible for mortgage payments without receiving rent from tenants. They may have to negotiate with lenders to delay or make partial mortgage payments.

Q: Can tenants who can't pay rent be evicted once the ban is lifted?

Yes, as soon as the eviction ban is lifted, landlords can begin the eviction process. It's important for tenants to communicate with their landlords and try to make arrangements.

Summary & Key Takeaways

• A friend who is a real estate investor and attorney shares insights on new laws that could allow tenants to avoid paying rent for 90 days, leaving landlords financially responsible.

• California has banned evictions through May 31st for tenants who are unable to pay rent due to medical or financial reasons related to the current crisis.

• New York has a 90-day eviction ban in place, and other states such as Florida, Seattle, Boston, and Kentucky are discussing or implementing similar measures.