Note that rent deferrals means that rent payment is delayed. Deferred rent will still need to be collected at some point, and both Landlords and renters should work out a schedule for deferred payments. Landlords should also be compassionate and consider not charging late fees for deferrals.
Some other options to consider depending on people's situations:
- Rent reduction, whether temporary or permanent
- Partial rent forgiveness
- Early lease termination
Note that for any COVID-19 related rent modifications, the renter must provide some evidence of loss due to the pandemic. This is important because it shows the Landlord that the Tenant is indeed needing relief, and it also helps the Landlord provide evidence to their mortgage lender in case the Landlord is in need of mortgage assistance. Remember, mom-and-pop Landlords are bleeding too. Please be kind to one another and show some sympathy either way.
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See below for Info from the Mayor of L.A.:
On March 23rd the Mayor issued a temporary moratorium on evictions for non-payment of rent for tenants who are unable to pay rent due to circumstances related to the COVID-19 pandemic.
On March 30th, the Mayor halted rent increases on occupied rental units that are subject to the City’s Rent Stabilization Ordinance (RSO). Effective March 31, 2020, Ordinance No. 20-0147-S19 expands protections for tenants during the local emergency in response to COVID-19. Together, these actions are designed to prevent unnecessary housing displacement and to prevent housed individuals from falling into homelessness.
Summary of the protections in place for residential tenancies:
No owner can evict a residential tenant for nonpayment of rent if the tenant is unable to pay rent due to circumstance related to the COVID-19, such as:
- Loss of income due to workplace closure or reduced hours due to COVID-19
- Loss of income or increased child care expenditures due to school closures
- Health care expenditures stemming from COVID-19 infection of the tenant or a member of the tenant’s household who is ill with COVID-19
- Reasonable expenditures stemming from government ordered emergency measures.
"Tenants are still obligated to pay lawfully charged rent."
However, during the emergency period, tenants may not be evicted for failure to pay rent due to the financial impacts related to COVID-19. Tenants will have up to 12 months following the expiration of the local emergency to repay any back rent due. On March 30, 2020, the City Council extended the repayment period from 6 to 12 months.
- No property owner shall exercise a No-fault Eviction during the Local Emergency Period. No-Fault evictions means those not based on an alleged fault of the tenant.
- No property owner may withdraw an occupied residential unit from the rental housing market under the Ellis Act.
- Landlords may not evict tenants due to the presence of unauthorized occupants, pets or nuisance related to COVID-19.
- Landlords may not charge interest or late fees on unpaid rent due to COVID-19.
Landlords are required to give written notice of the eviction protections to tenants within 30 days of March 31, 2020.
How will the City implement the residential eviction moratorium?
Affirmative Defense
Tenants facing eviction have an affirmative defense if the proposed eviction is for non-payment of rent and the tenant’s inability to pay rent results from circumstances related to the COVID-19 emergency. Tenants or their attorneys can raise the existence of this moratorium as a defense in an Unlawful Detainer action. Tenants and their attorneys may argue that they are an Affected Tenant by providing documentation to the Landlord that they have lost substantial income.
Examples of documentation may include, but are not limited to, a letter from the employer citing COVID-19 as a reason for reduced work hours or termination, employer paycheck stubs, bank statements, or school district notifications. Under the Governor’s Emergency Order, tenants should provide this notification to their landlord within 7 days of the rent due date.
