You may have heard the news that the U.S. Department of Housing and Urban Development (HUD) has been directed to suspend evictions and foreclosures through the end of April.
As a response, many landlords have decided to waive rental payments and fees for tenants who lost their source of income due to COVID-19. The Utah Apartment Association has released a guide to determining what steps you should take as a landlord. If you’re interested in creating a rent deferral plan, here’s how to extend the policy to tenants who qualify.
- Determine what your policy is going to be and who will qualify. You can find a sample policy here and here.
- Let your tenants know about the policy and how they can apply.
- Review the requests and inform the tenant.
- Put together a Rent Deferment Agreement for each approved person. Here are a few examples of what that could look like: 1 // 2
If you need to defer a mortgage payment due to tenant non-payment, there are steps you can take. While it will depend on the state your rental properties are in and if it’s a private or FHA-insured mortgage, many lenders have implemented special waivers- so the first step is to check to see if your mortgage company is offering anything beyond the standard ‘no eviction/foreclosure’ policy.
Some private lenders, like Citibank, have hardship programs that will work with you if tenants can’t pay, while other lenders (like BoA) are only allowing deferral of payments that will be added to the end of your loan.
Looking for more updates as they happen? Here are a few places you can get the latest news:
We’re here to help you navigate renting during these unprecedented circumstances and will be providing updates frequently. In the meantime, stay safe!