Evicting tenants is part of property management, no matter what's happening with the economy. However, data found that there have been approximately 1,074,715 evictions nationwide since the COVID-19 pandemic.
If you're a landlord or own investment property in Minneapolis, there are some important things you should know moving forward.
Read on to learn about eviction laws regarding post-COVID evictions and how they might apply to you.
Why are Evictions Increasing?
Post-COVID evictions have skyrocketed for several reasons. First, federal rent moratoriums were lifted in August 2021, forcing many tenants to pay back rent.
Federal rental assistance is also becoming more scarce, making it difficult for tenants to pay their rent on time. Those who lost jobs due to the pandemic are finding it increasingly more difficult to keep up with the costs of living.
Aside from these factors, high prices and inflation are also affecting renters. As a landlord, it's vital to understand post-COVID eviction laws so you do things by the book and avoid a long, expensive court battle.
Eviction Bans are Over
When the COVID-19 outbreak began, the U.S. federal government as well as several states, counties, and cities, banned evictions. At the time, several protections were put in place to keep tenants in their homes.
There are now no longer any statewide eviction bans in place and this has been in effect since July 2022. Some cities, states, and counties have put a few tenant protections in place, like rental assistance or "eviction diversion plans."
In the state of Minnesota, there are no longer any eviction bans enacted. That means as a landlord, you may proceed as normal under state law. Keep in mind that certain laws are still in place, depending on the property's location and the property type.
FHA Protections
Property owners who own any buildings with five or more units and who have financing through FHA may not evict tenants. This applies to certain circumstances only, but it is still an active law.
Tenants may still be evicted, but they must receive a 30-day written notice. Landlords receiving HUD vouchers or other federal subsidies must follow the law carefully.
If a tenant is late on paying their rent, landlords with these specific types of properties may also not charge late fees. They cannot demand a lump sum payment for late rent, either.
As a landlord, using a property management company can make the rent collection and eviction process easier. Consider hiring an experienced management company to help you navigate this new world.
Protect Your Investment
While most post-COVID eviction laws have expired, it's important to keep up with legal and real estate trends. Knowing the process of evictions and the law is the best way to get the money owed to you so you can protect your investment.
If you have an investment property, PMI Minneapolis St-Paul can help you find the best tenants. Our services including thorough tenant screening and more will keep your property profitable, so get in touch with us to get started today.
