At the onset of the Covid-19 pandemic, governors and local government officials issued executive orders instructing non-essential businesses to close and encouraged residents to shelter in place. In a matter of months, American homes transformed into makeshift offices and children’s classrooms, merging the private and work life. However, not everyone has the opportunity to work from home, and many Americans lost their job due to the economic slowdown.

While the initial stimulus relief package provided unemployed Americans with an extra $600 weekly payments by the federal government, the end of those payments places many Americans in limbo. Moreover, the resurgence of Covid-19 continues to prolong America’s economic recovery and positions Americans at risk of eviction and foreclosure. As of July, approximately 50 million Americans filed for unemployment as non-essential businesses closed under state and federal orders in an attempt to curb the spread of the virus. Coupled with unemployment loss, low-income communities, already rent-overburdened, are in the precarious situation of losing their homes and becoming prone to homelessness and displacement. An estimated 30-40 million Americans could potentially face evictions, while homeowners who depend on rents as income will also face challenging times in the next few months.

Communities of color, particularly Black and Latinx Americans, are hardest hit by rising unemployment and more prone to eviction. A study finds that non-white households experience higher rates of evictions and overall housing loss compared to white households.  According to the American Community Survey (ACS) of 2012-2016, census tracts with the highest eviction rates are predominantly non-white. In 2018 Black renters had the highest rent burden rate at 55%, followed by Latinx renters at 53% and Asian/other renters at 45%. Although rent-to-income ratios for low-income renters are highest within metropolitan areas, this challenge extends to mid-sized metros and rural areas.  Moreover, with the rise in housing costs, low-income renters spend an average of 42% of their income on rent, leaving less money for other necessities such as food. Rent overburdened Americans are more susceptible to evictions due to increasing housing costs and a shortage of over seven million affordable apartments.

Furthermore, Americans entering the pandemic with a precarious housing situation and employment instability find it more difficult to endure the challenging times. Before the pandemic, the majority of private eviction filings in New York City, for example, were approximately 85% non-payment cases, and a large portion of those cases owed between 2.5 and 3 months of rent. As a result of rent non-payments, between thirty to forty million Americans could face evictions by the end of the year. Evicted families confront traumatic experiences – financially, physically, and emotionally, that increase families’ volatile situations and cause severe hardships for uprooted families. Additionally, evictions can lead families to experience displacement, move to areas with concentrated poverty and lack of resources, and homelessness. Evictions also have adverse effects on neighborhoods that can lead to property neglect, blight, decreased property value, and increased crime over prolonged periods of time. Although the Centers for Disease Control and Prevention signed a declaration to temporarily halt residential evictions through the end of the year substantial federal policies are necessary to prevent millions of Americans from losing their homes. Considerable aid from the Federal government is essential to fend off a looming housing crisis that will have detrimental effects on low-income renters across America.

Gustavo Moran, a proud Mexican-born Brooklynite, is a junior majoring in Urban Studies, double minoring in Sociology and Political Science, and pursuing a certificate in Public Policy from the Roosevelt House Public Policy Institute. Since his sophomore year, Gustavo has interned for the Council Speaker and Manhattan Borough President and worked on various legislative and policy initiatives to promote community outreach, equitable access to food, and analyzing transportation alternatives. Currently, he is participating in a discussion surrounding the current development of New York City and the implications of housing demand, equitable job growth, and affordability, in collaboration with the Eva Kastan Grove Fellows. He plans to earn a Master’s in Urban Planning and Public Policy and continue working to make NYC equitable for all New Yorkers.