New York to get $1.3B for rent relief in stimulus package

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Congress has finally reached a deal on a relief package that includes $25 billion in rental assistance, of which New York would receive $1.3 billion.

The National Low Income Housing Coalition estimates that California would receive $2.6 billion, twice as much as New York. Texas would receive $1.9 billion and Florida would receive $1.4 billion, according to the NLIHC estimate. It is up to states to determine how to spend the rental assistance funds, which include aid to state and local governments.ADVERTISING

The measure would also extend the Centers for Disease Control’s limits on evictions for one month, until Jan. 31.

Diane Yentel, the director of the housing coalition, said the bill would provide immediate relief for renters, but said the CDC eviction limits are insufficient to keep people from homelessness for the rest of the pandemic. The measure is far narrower in scope than an initial $2.2 trillion package pushed by the House of Representatives in October.

“While $25 billion in emergency rental assistance is clearly not enough to meet the estimated $70 billion in accrued back rent or the ongoing need for rental assistance to keep families stably housed, these resources are essential and desperately needed,” said Yentel.ADVERTISEMENT

Bloomberg News recently reported that about 11.4 million renter households owed an average of $6,000 in back rent, citing an analysis from Moody’s.

Joseph Strasburg, president of the Rent Stabilization Association, also praised what he said was “much-needed” rental assistance.

“Unfortunately, for some, it may be too late,” the landlord group’s leader said. “But for many, it may help them survive the next few months because it provides the resources needed to pay their mortgages and real estate taxes, and pay for heating bills and boiler repairs, and other maintenance, during the winter months.”

But the federal package could remove some of the urgency for action from the New York state legislature, sources told The Real Deal as news of the federal relief deal broke.

Lawmakers had been embroiled in negotiations to extend the current statewide limits on evictions or pass an expanded blanket eviction ban. The Biden administration could also extend the nationwide limits on evictions before they expire.