Housing Hand calls for government to step in between landlords and tenants who can’t pay rent
According to Housing Hand, the pending housing crisis is not one of evictions getting out of control, but the rental debt the tenants owe and how they can repay the landlords who are legally entitled to be paid. A rent debt loan, paid to landlords by the government and then repaid by the tenant as affordability allows, could provide a simple way to avoid a huge number of evictions.
The landlords in all rent debt cases are losing. Some are happy to defer payment or reschedule but cannot countenance having nothing at all. This means that many will face the prospect of having to evict perfectly good tenants due to the financial impact of COVID-19. It also raises the prospect of them selling their asset, which isn’t a good outcome for anyone.