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How Can the New COVID-19 Stimulus Relief Bill Help Landlords?

Posted on in Landlord-Tenant Dispute

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The coronavirus health crisis has also caused an economic downturn in 2020. Many people are struggling to pay their bills after being laid off or furloughed. President Trump signed a new relief bill into law just after Christmas, with another $900 billion in stimulus funds allocated in an effort to help individuals, families, and businesses struggling because of the COVID-19 pandemic. In addition to containing money to fund government operations, the spending package also includes emergency relief money for a new round of stimulus checks, unemployment aid, and small business assistance. These funds may be able to help Illinois landlords and tenants who are facing eviction or foreclosure. Learn if this bill applies to you by contacting an experienced real estate attorney.

Eviction Moratoriums

Over the past year, local, state, and federal agencies have issued orders to stop or slow the spread of the highly contagious virus. These orders included closing non-essential businesses and requiring masks to be worn in public places while also limiting the number of people in gatherings. Some orders even included prohibiting tenants from being evicted from their homes if they were behind on rent payments. However, these executive orders do not extend to situations where a tenant poses a direct threat to the health and safety of other tenants, an immediate and severe risk to property, or a violation of building code, health ordinance, or similar regulations. The Illinois eviction moratorium was extended again, and it prohibits the filing of residential eviction actions and the enforcement of residential evictions until January 9, 2021.

Similar to the country’s initial stimulus package, this round of stimulus checks issued by the U.S. government gives $600 to each person who is earning $75,000 or less for an annual salary in addition to $600 for every minor dependent.

The relief package also includes an extension of unemployment benefits and a federal unemployment insurance bonus of $300 per week. As a response to the negative impact felt by small businesses in 2020, Congress has allocated an additional $284 billion in loans for those business owners who are having trouble delivering paychecks and covering rent payments for their company.

In addition, Americans who are facing eviction due to nonpayment of rent may find relief with this new package. It includes $25 billion in rental assistance and a 30-day extension of the moratorium on evictions. Since many landlords may rely on rental income to pay their mortgages, the relief bill can help them avoid foreclosure. However, the bill does not provide direct financial assistance to homeowners for making their monthly mortgage payments on time.

Contact a DuPage County Real Estate Attorney

Homeowners in Illinois may be finding it difficult to pay their monthly mortgage payments due to COVID-19. If you or your loved one has experienced a job loss or a reduction in pay, it is important to understand your legal options. At Stock, Carlson & Duff, LLC, we understand the intricacies of real estate law, including foreclosures. Our dedicated Wheaton, IL real estate lawyers represent buyers and sellers at closings in both residential and commercial real estate transactions. We will work with you to find solutions that best fit your unique situation and avoid foreclosure. To arrange a private consultation, call us today at 630-665-2500.

Source:

https://www.msn.com/en-us/news/politics/trump-has-indicated-he-will-sign-stimulus-and-government-spending-bill-into-law-averting-shutdown/ar-BB1cgJB0?ocid=uxbndlbing

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