Nearly six months in, this pandemic isn’t showing any signs of slowing down. The devastating consequences are like a ripple effect, spilling into virtually every aspect of life in America.
U.S. renters owe more than $21.5 billion in back rent.
Unemployment has soared to record highs, and far too many hard-working families are now struggling to make ends meet. On Wednesday, global advisory firm Stout, Risius and Ross estimated that U.S. renters owe more than $21.5 billion in past-due rent. Experts warn that without a solution, we could see a surge in homelessness.
Michelle Colin of Reuters writes:
The unprecedented amount of back rent is not a macro-economic game changer, said Moody’s Analytics Chief Economist Mark Zandi. But for renters, “it’s catastrophic. Very few people will be able to pay this back,” he said.
A debt spiral could haunt displaced tenants “for a lifetime,” he added.
Earlier this month, in another Reuters article, Emily Benfer, a visiting law professor at Wake Forest University and the co-creator of Princeton University’s Eviction Lab—a national research center on evictions—warned that up to 28 million people could be evicted in the near future. That’s almost three times the 10 million men and women who lost homes after the crisis in 2008.
Tennessee has already lifted the moratorium on eviction proceedings.
According to a Federal Reserve Bank of Cleveland study from earlier this month, eviction filings have almost returned to their normal levels in 44 U.S. cities and counties. These are places where moratoriums have expired, or where there were no bans in the first place.
Tennessee is among several states that have lifted the moratorium. Folks are in an especially vulnerable position given the unemployment rates. Some people lost jobs that they cannot return to. If you are anxious about the future, know that you have options and we are here to help however we can.
We can help you keep your apartment. Call us.
I’m a bankruptcy lawyer Memphis TN trusts. I’ve spent my career helping folks make it through tough times and go on to live a life beyond their dreams.
It goes without saying that this is a dark chapter in our history. But that’s all the more reason to consider bankruptcy, which exists precisely to make your life easier. It’s a critical lifeline in times of need.
This time is difficult as it is. No one should suffer more.
If you are struggling to pay your rent, or worried you’ll be evicted, there’s always hope. You don’t have to let a debt spiral haunt you for a lifetime. Give us a call at (901) 327-2100, and we can discuss your options.