Good Afternoon, I have set out below an exchange of emails between Sher Powers, Realtor® and Megan Both, Director of Federal Housing, NAR, with questions and answers regarding the CDC Evection Moratorium. The emails provide some insight, but it still leaves some confusion! Sep 18, 2020 8:08 AM Megan Booth<https://thehub.realtor/network/members/profile?UserKey=11bc1a56-fafb-4b13-8b6a-ce35de7919ff> Yes, this order is causing chaos in courts as we are seeing radically different interpretations across the country (and even within a state!). As for answers to your specific questions. First keep in mind, none of this applies if the tenant has NOT filed the declaration. None of the CDC moratorium applies until that occurs. -While a lease would be enforced through the terms of that lease even if the property were sold, what if the tenant is month to month? While the CDC order says that a tenant may be evicted for lease violations other than non-payment of rent, it further lists 5 circumstances under which a tenant may be evicted. These are: ´1. engaging in criminal activity while on the premises; ´2. threatening the health or safety of other residents; ´3. damaging or posing an immediate and significant risk of damage to property; ´4. violating any applicable building code, health ordinance, or similar regulation relating to health and safety; or ´5.violating any other contractual obligation, other than they timely payment or rent. So, to the extent that the lease or local law treats a hold-over tenant as in violation of the lease, then the hold-over status would constitute "violating other contractual obligations" and eviction would be permissible even under the CDC order. -Can they be given a thirty day notice, and then would the new owner be unable to evict if they refuse to move? Again, see above. Depends on how your local law or the lease refer to hold-overs. -Would a new owner be obligated to keep the tenant through the end of the year with no payments, even if they intended the purchase as a primary residence? How does that impact some lender obligations to move in within 90 days? Same as above. Again, it will also depend on how the court chooses to interpret it. -If there are no evictions until after January 1, is that the earliest they could be filed? This adds another 45-120 days to the real time frame, depending on where the eviction is being filed. Since the order is in effect through December 31, a property owner could file 30-day notice to quit on December 1, if your state law requires such. If it does not, you have to give sufficient notice so that you can proceed with filing on January 1. To date, courts are holding Jan 1 as the first day to file - although not explicit in the CDC notice. We continue to work Congress and the Administration on this issue. We will keep you updated! Megan ------------------------------ Megan Booth National Assn of REALTORS Washington DC 202-383-1000 MeganBooth ------------------------------ ------------------------------------------- Original Message: Sent: 09-17-2020 12:52 PM From: Sher Powers Subject: NAR meets with White House on Eviction Moratorium Thank you for this encouraging update, Megan, and the efforts made on behalf of rental property owners throughout our membership and within our communities. This topic has been hotly discussed in Nashville and throughout Tennessee by REALTOR® groups via social media, as well as outside landlord and Investing associations and groups. The eviction moratorium without relief for landlords is a vital concern for owners of rental property, of whom I am one. This is also a concern for Short Term Rental Property (STRP) owners, who have already suffered loss of income and have pivoted to offer longer term furnished rentals at a significantly lower gross revenue, in order to generate some income with low to no travel. Many STRP's are operating at a net loss monthly to remain in business, and an eviction moratorium may be the death knell for small operators who are barely hanging on. It is also unclear what policies would be in place if the property is sold before the end of the year. -While a lease would be enforced through the terms of that lease even if the property were sold, what if the tenant is month to month? -Can they be given a thirty day notice, and then would the new owner be unable to evict if they refuse to move? -Would a new owner be obligated to keep the tenant through the end of the year with no payments, even if they intended the purchase as a primary residence? How does that impact some lender obligations to move in within 90 days? -If there are no evictions until after January 1, is that the earliest they could be filed? This adds another 45-120 days to the real time frame, depending on where the eviction is being filed. Landlords, property management companies, STRP owners and residential real estate investors will all be watching this closely. Thank you, Sher ------------------------------ Sher Powers Urbane Residential Specialists Nashville TN 615-430-6861 I hope found the emails to be useful. Victor Victor J. Raymos, RCE, CRS, ABR Association Executive/CEO St. Augustine / St. Johns County Board of Realtors ae@stjohnsrealtors.com<mailto:ae@stjohnsrealtors.com> Phone: 904-829-8738 Fax: 904-823-9512