A staggering amount of a billion dollars is the rent due for most renters in New York as of today. But how did this amount managed to rack up to a billion? Is that amount the total of many renters present in New York?
ALSO READ: 5 Essential Tips to Help You Identify and Avoid a Rental Scam
A Billion Overdue in Rent is Pressuring Many Renters in New York City
The said overdue amount is now pressuring many renters in New York nowadays. According to TheRealDeal, the affected renters & tenants are the ones in most apartments that are now stabilized in their rents. The total amount for those dues from those groups of people is totaling up to 1 billion, according to the latest report from the Community Housing Improvement Program (CHIP).
In that said report, the number of households surveyed amounted to 185,000. In that number, most households were one to two months behind their respective rents, which was averaged at $6,000 total. Sadly, experts at CHIP at saying that the overall due amount may shot up to 2 billion dollars, due to the current market's rate rentals that combine to a total of another one billion dollars.
Do take note that the said overdue amount is owed to many landlords that operate within New York City. However, the amount can be soon be forgotten by most renters and tenants as CHIP (and probably along with the local government) are aiming to get additional funding of 1 to 2 billion dollars to cover that overdue amount.
It is notable that the locations of Washington and Albany have already provided aid from their local governments during the hardest times of the pandemic. The aid of $1.3 billion for rental fee assistance has been recently provided to New York City, helping many renters and tenants greatly. Thankfully., Biden's upcoming administration has stated that a new stimulus package will be pursued aimed at rental fee assistance.
Landlords in New York City must still adhere to the state's moratorium. This means that they cannot forcefully evict any of their renters and tenants up until May 2021.
More Additional Information About the Dues of Renters and Tenants
It seems that not only the financial impact that renters and tenants should worry about nowadays. According to The Wall Street Journal, the stimulus recently provided has been proven that it isn't enough, as it shows the growing financial burden of many residents in New York City. Do take note that other locations also have this kind of problem as well (on their residents, that is).
No thanks to that growing problem when it comes to the finances of both landlords and renters/tenants, many groups of them are advocating for heavy lobbying of more effective assistance from the government recently. That means that they need more financial assistance when it comes to facing those financial-related debts that each type of person is facing on their end.
Many experts are fearing that the continuous financial burden that most Americans are experiencing during the pandemic will result into another housing market crash could happen sooner than later.
ALSO READ: 9 Things To Consider Before You Invest In A Vacation Rental Property In Myrtle Beach
