September 19, 2021

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Mortgage News

$153 million distributed and counting: Virginia’s rental assistance program has a 29,000-case backlog | State and Regional News


Virginia paid $ 153.6 million in rental subsidies to households at risk of eviction between last July and early April. This is based on figures from the State Department of Housing and Community Development.

The payments have helped around 30,000 households settle back arrears during the COVID-19 pandemic and avoid losing their homes.

With a federal moratorium banning most evictions due to expire at the end of June, two foreign ministries are working to process more than 29,000 pending or incomplete applications in preparation for the influx of further applications. State law requires landlords to work with tenants to apply for aid money before evacuating.

“We assume that the need will continue to grow, and possibly even increase, as the federal moratorium may end [June 30]”Said Erik Johnston, the director of the department.

As of last Thursday, around 17,000 applications initiated by the tenant were pending because, according to the department, the tenant or landlord had not submitted the documents required by the department. Another 1,075 that were complete awaited their review. In a separate application process initiated by the landlord, around 11,100 applications were pending.

Between March 2020 and March 2021, 17,125 eviction orders were issued nationwide, according to a quarterly report released by the RVA Eviction Lab at Virginia Commonwealth University. Of these, 3,648 – or roughly one in five – were in central Virginia. The numbers illustrate both a sharp decline in the number of pre-pandemic evictions and the unsolvable practice that has persisted despite millions of dollars available to make landlords whole.