It looks like that eviction moratorium is about to end soon: https://www.businessinsider.com/trump-era-eviction-ban-foreclosure-moratorium-expiration-biden-renewal-2021-7
A lot of people have theorized that this will upset the artificial housing shortage, now that landlords will finally be able to evict tenants who aren’t paying.
Anyone want to make a predictions? Will this have a big, moderate or no impact on the real estate market?
Most of the landlords I’ve talked to around the country actually haven’t had to deal with many problems because of the moratorium. Tenants have either been paying or they have voluntarily moved out (like normal).
I’m not sure if this has been the “norm” everywhere or not, but if it is, it may not make any earth shattering changes… but only time will tell. I will definitely be keeping an eye on the situation.
The past year and a half has been an unprecedented time in the US for federal “relief” (government handouts) for pretty much everyone, rich or poor. If you’ve needed money to survive, you’ve probably had multiple opportunities to get it. I know a lot of people who absolutely didn’t need the money and they got it anyway.
I guess my thoughts aren’t so much about whether the real estate market will change as a result of the eviction moratorium ending, but more of a rant. Sorry about that.
On the rental side, essentially, over the next year the demand for units will rise. This will inevitably raise rent rates.
The second effect will be foreclosures. No one is talking about the fact that there haven’t been any back forclosures for nearly two years. This has decreases the invetory that flippers used to provide after renovating foreclosed homes.
It should be a slow process, which may take a year or better to be seen in the market.
@jawollbrink that’s a good point about having no foreclosures for 2 years. As obvious as that is, that factor didn’t even come to mind for me. I’m gonna be watching this from the edge of my seat!