The Supreme Court may have struck down the CDC's national eviction ban, but individual state and city bans still stand. And New York's? It will now last until 2022.
It's true: Newly minted Gov. Kathy Hochul just signed the state's latest eviction moratorium, effectively banning all residential and commercial evictions until Jan. 15, 2022. The bill was passed by a special session of the state legislature this morning.
Fortunately, under this version of the ban, landlords aren't without options. Let's take a look at the new bill and what it means for New York property owners.
New York's eviction ban
The moratorium, like others that came before it, stops landlords from filing for eviction if the tenant claims a hardship. As with the CDC ban, tenants need to submit an official hardship declaration form in order to qualify.
Here's the catch, though: If a landlord thinks the tenant hasn't actually suffered some sort of hardship? They can actually request a court hearing, which might allow them to move ahead with eviction.
There's another exception, too. Landlords who believe their tenants are creating safety or health hazards for others in the building or who are intentionally damaging property can also move to evict.
Finally, for property owners who can't pay their mortgage due to nonpaying tenants, the legislation also bans residential foreclosures until Jan. 15. The ban applies to landlords with 10 or fewer residential dwellings or small businesses with 100 or fewer employees. Again, a hardship declaration and demonstration of financial hardship is required.
Other tenets of the ban
The legislation also has a few other line items landlords might want to take note of. First, tenants can receive an additional year of eviction protection if they qualify for the state's Emergency Rental Assistance Program (ERAP). They're also protected from eviction while their application for rent assistance is pending.
The state also used the bill to establish an extra rental assistance fund -- dubbed the Supplemental Emergency Rental Assistance program, which will offer $250 million in assistance for low-income renter households.
Lastly, it also creates a $25 million legal services fund for tenants facing eviction proceedings. The program will "help them maintain housing stability in areas of the state where access to free legal assistance for such services is not available."
The bottom line
The CDC ban may be in the rearview mirror, but New York landlords are going to be dealing with nonpaying tenants for some time, it seems. Fortunately, this ban offers a few options for those dealing with particularly troublesome renters -- as well as those who may be gaming the system.
There's also no guarantee the new legislation will stand. In fact, some experts say the policy will be struck down in court. However, only time will tell.