Greater eviction rate since Covid
Covid caused a lot of unsettlement and problems for a large
chunk of the world. Businesses went bankrupt and shut down, people lost their
jobs, and the economy crashed. The prices of oil went into the negative for the
first time in the history of the world. It was absolute chaos.
The time post covid for landlords and tenants has been
unsettling. The entire world has been turned upside down and shaken. Let us
take a look at how Covid impacted landlords and their tenants.
The chaos starts
When Covid hit, many companies struggled to stay afloat.
People stopped leaving the house out of fear or mandate, and because of this,
the economy of the entire world suffered. People stopped going out to malls and
shops and subsequently stopped buying as many products. Even home deliveries
were at an all-time low. When Covid started spreading, no one had full
information on the virus. People didn't know whether it would spread through
sneezing, coughing, and the air. It was being speculated whether surfaces and
packages could carry the virus too, and not many people were up to risk it.
Losing jobs
The economy took a big hit during Covid, and so did many
individual companies and businesses. Many of these companies started downsizing
and letting off their employees. Paying extra (or even necessary) employees is
costly, and businesses were trying to cut their costs as much as possible to
prevent shutting down. So, many people, regardless of the fact that they were
good at what they did, were fired. To make matters worse, many of these people
were not given a warning in advance.
Subsequent losses
Losing your job is already a big deal, but with no prior
warning? You may be in big trouble if you don't have much in savings and can't
hold off till you find another job (that even in Covid, when employers were
certainly not looking to hire), paying rent on time becomes a big issue. When tenants
don't pay rent on time, their landlord may want to evict them so they can rent
out that space to someone else and create a source of income.
The landlords POV
As a tenant, this seems very unfair. First, you lose your
job, and then your home too? However, from the landlord's point of view, they
may be someone who has lost their job as well and now depend on the rent they
get from their tenants to support their family. Or perhaps, the rent they get
from their tenants is their primary source of income. So, even if a landlord
tries to be understanding, compassion will not pay their bills.
Where from here
Once a tenant has been evicted, they become the government's
responsibility. The government will allot them housing if they don't have any
family they can live with. However, there is a plethora of problems with this
housing that is allocated to such people. The housing is extremely substandard
and usually has many problems with the plumbing, flooring, gas, electricity,
etc. Along with this, these houses are usually located in high-crime
neighborhoods, where the risk of getting robbed or attacked is far higher than
in other neighborhoods.
The feeling of
displacement
People who are evicted face psychological trauma and the
risk of suicide increases. The process of eviction is also usually very quick.
Once your landlord sends you the notice, you typically have to move out within
a couple of days. It becomes very difficult to move out all your belongings in
just a matter of days, especially when you have no idea where you are going to
put them.
If you don't have another place to stay, you would
essentially have to keep your things out on the road or in storage (which would
also cost you money). This would be an added tension, as the tenant would feel
displaced and unsettled.
Problems for children
specifically
Tenants who are forced out of their houses may also face the
problem of being unable to send their children to school. If they don't have a roof
over their head, they can't be expected to pack their books and lunches and
head off to school. Because of this, they will miss more days at school, which
will be detrimental to them and deter their academic progress.
Children may not have access to proper food as they did when
living in a home. This may lead to malnourishment and affect their academic
performance, as well as their health and well-being in a general sense.
Credit Sheet
Being evicted due to late rent payment or nonpayment of rent
goes on an individual's credit sheet and brings down the score. Landlords
review this credit sheet before allowing a potential tenant to rent their
property. This process is called tenant screening and is a thorough process. If
a tenant's score is below 650, landlords are unlikely to offer them the place.
An eviction on your credit sheet history also looks terrible,
especially if the reason behind it is nonpayment of rent. Other landlords would
also be wary of letting their property out to you and may not trust you to pay
the rent on time again, making it harder to find a place to live.
Conclusion
It has become increasingly difficult for landlords and
tenants alike since Covid hit. The screening process must be more intensive,
but from the tenant's point of view, some things just aren't fair, and
sometimes there is not much the tenant can do about it.
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