The Biden administration has had its share of controversial programs already within their first five months of being in office. From trying to make the U.S. military a leftist experiment in gender and sexual politics to trying to spend the U.S. economy into oblivion, Biden’s administration keeps doing things that ordinary, everyday Americans never thought that they’d see in their lifetimes.
There is one program, though, that you may not have heard about that could have major long-term consequences on the property and housing markets in America, and Biden just extended the program which could make the situation worse. Emel Akan writes,
The Biden administration announced on June 24 another extension of the national moratorium on evictions, to support renters and prevent foreclosures. The measure, which was imposed by the Centers for Disease Control and Prevention (CDC) in response to COVID-related hardships, had been scheduled to expire on June 30.
The CDC extended the directive by a month to July 31, while calling it “the final extension.” Following the agency’s guidance, the White House announced several actions to help state and local governments prevent a “flood of evictions” when the freeze ends.
According to the White House, there’s more than $46 billion available for the Emergency Rental Assistance (ERA) program that could be used to help vulnerable renters and landlords. Hence, state and local governments “must do better” in moving this money to people in need, the White House said in a fact sheet.
“We are calling on every state and local recipient of the emergency rental assistance to accelerate their efforts, to expand their efforts to get funds to tenants and landlords in need as quickly as possible,” a senior administration official told reporters during a call.
“The CDC’s decision recognizes that a final 30 days was needed to ensure that we could take every possible step to ensure the moratorium did not lead to a flood of evictions.”
Now, maybe this program is well-intentioned, but call me cynical (I am): this looks a lot like a way to buy votes for Democrats on the backs of landlords and taxpayers.
Besides the extra spending that is in this program, there are the massive problems when evictions start happening and are worse than ever because people can’t catch up after so many months of not paying rent.
Will the rental property and housing markets collapse? I don’t know. What I do know is that the possibilities are scary.