Mixed Relief For Indiana Landlords
On Wednesday, June 24, 2020, Governor Holcomb announced he will extend Indiana’s prohibition on evictions and foreclosures through August 1, 2020 (emergency evictions and foreclosures are now permitted). The one bright spot for Indiana landlords and real estate investors came when Jacob Sipe, director of the Housing and Community Development Authority, also announced the “Indiana COVID-19 Rental Assistance Program.” The Rental Assistance program utilizes $25 Million from the federal CARES Act and will provide Indiana tenants living outside of Marion County assistance of up to $500.00 per month for four months. However, to qualify, the tenant’s landlord must agree to participate. To qualify, tenants must meet the following criteria:
- Does not apply to tenants living in Marion County (Indianapolis) – Marion County will implement its own $15 Million relief program for tenants in living within Marion County;
- Lost their job or part of their income due to the pandemic;
- Are having trouble paying their rent;
- Current household income, including unemployment, must be less than household income on March 6, 2020; and
- Tenant’s household must not have already received emergency rental assistance as part of the COVID-19 response such as through Section 8 vouchers or USDA assistance.
Renters can apply at indianahousingnow.org beginning July 13, 2020. The online application will also be available in Spanish. Additional resources for tenants/renters can be found within the website or in the Coronavirus Eviction & Foreclosure Resource Guide.
The good news for Indiana landlords is that if a tenant qualifies, the payments will go directly to the landlord. The only “catch” is that landlords must agree not to evict the tenant until the tenant is more than 45 days delinquent on rent. However, with the inability to evict for at least another 30 days, there is not much downside to participate and take advantage of receiving up to $2,000.00 in rent. The funds are only expected to cover roughly 12,000 households. Therefore, landlords should encourage their tenants to apply as soon as possible before the funds are exhausted. Other areas of help can come from the local township trustees, the utility companies, and even local churches. Here is another state website link with a list of additional resources tenants can utilize during the pandemic. The point is that Landlords should provide any and all information to their tenants to help ease tenant’s burdens and help ensure rental payments can be timely made.
If you have questions about this, landlord/tenant matters, foreclosure processes, or any other general real estate matter in Indiana, please call Rollins Law Group at 317-558-9677 or contact us online for a free consultation.
These materials are intended for general information purposes only. Accordingly, they do not and are not intended to constitute legal advice or legal opinion. You should consult with legal counsel to determine how laws or decisions discussed herein apply to your specific circumstances.