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If rent should be cancelled for the duration of the lockdown, what would be done for the landlords who still have to pay their mortgages?

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  • 2 months ago
    Favorite Answer

    You're asking the $64,000 question no one wants to answer.

  • 2 months ago

    the landlords are SOL.

    It ridiculous how many democratic polititicians are so so anti business.

    atleast in the state of Oregon they are.

  • 2 months ago

    Rent isn't being cancelled, at least not in the US. Neither are mortgages. Late fees, evictions, and foreclosures are being postponed. Payments are being deferred for both in some cases.

    Unfortunately, deferring payments means that the total owed will eventually come due. Sometimes you can work out a payment plan for back payments, other times you simply owe whatever is due in one lump sum. This is why it's strongly recommended that people pay what they can on their rent and mortgages. Even if it's not everything, paying something reduces your eventual risk of foreclosure/eviction when the total comes due.

    It's also recommended by most lenders that investment property owners maintain a minimum of six months worth of expenses on hand. Some landlords (like myself) follow that guideline in the event of emergencies. It's no different than having an emergency fund to cover your rent. The fact that apparently very few owners bother to do this is pretty irresponsible and merits consideration. Yes, this situation sucks and might burn your ROI for 2020, but it shouldn't result in foreclosure. If it does, you need to reexamine how you manage your properties. 

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  • Maxi
    Lv 7
    2 months ago

    Sure rents can be deferred NOT cancelled and mortgage holidays could be enforced.but what would you do about many landlords who do not have a mortgage and use their rental income as their monthly wages to live on and of course their only income to maintain theirs and their rental property?

    • Nuff Sed
      Lv 7
      2 months agoReport

      many self-employed small businesses may qualify for various loans

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  • 2 months ago

    From what I understand, no evictions or mortgage foreclosures will be enforced, for now. Tenants will have to make up back rent with payments and mortgages will be either extended or paid back in installments.

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  • 2 months ago

    Therein lies the rub .... Plus, if renters are not paying how can the landlord afford parts, maintenance, and repairs. {That is a rhetorical question.}

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  • 2 months ago

    A good reason why it should NOT be cancelled. It can't be cancelled. Leases are contracts. The law has no right to void any contract.

    • Nuff Sed
      Lv 7
      2 months agoReport

      The "law" can require litigation of rent disputes and mortgage foreclosures to be deferred.

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  • Judy
    Lv 7
    2 months ago

    rent isn't cancelled and is not likely to be, but you can't evict for failure to pay rent for now. After things return to normal, the tenant will still owe the back rent.

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  • Mmm J
    Lv 7
    2 months ago

    Rent will not be "cancelled for the duration of the lockdown". Rent *might* be deferred for a few months. When the deferral periods ends, those who did not pay rent will owe that rent which was not paid... plus the current month...

    Same goes for landlords and mortgage deferral. Nothing is cancelled - just delayed.

    Step 1: Contact your landlord or mortgage holder. They will need proof that you were not able to work because of COVID19.

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  • 2 months ago

    Why should rent be cancelled?

    You are using your home....

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