I think this goes beyond simple overleveraging. For landlords, an aspect of their risk mitigation was the ability to have legal recourse for non-paying tenants:
> Weaver ... says the eviction moratorium is just a "pause" because it doesn't mean that "the landlord can never collect the rent."
> In practice, though, collecting rent money will be extraordinarily difficult after the moratorium is lifted. The case backlog in housing court could mean that landlords will wait years for their cases to be heard, and recovering large sums of money is difficult under the best of circumstances.
> Owners say that having almost no legal recourse when their tenants don't pay their rent was not part of the deal when investing in real estate. Landlord groups around the country have sued on the grounds that halting the judicial process that allows them to retake their property violates their due process rights.
I think it was reasonble for landlords to assume that, in the worst case, they may not be be able to find a renter but would at least have the ability to live in the house themself. Now they can't even do that.
> Weaver ... says the eviction moratorium is just a "pause" because it doesn't mean that "the landlord can never collect the rent."
> In practice, though, collecting rent money will be extraordinarily difficult after the moratorium is lifted. The case backlog in housing court could mean that landlords will wait years for their cases to be heard, and recovering large sums of money is difficult under the best of circumstances.
> Owners say that having almost no legal recourse when their tenants don't pay their rent was not part of the deal when investing in real estate. Landlord groups around the country have sued on the grounds that halting the judicial process that allows them to retake their property violates their due process rights.
I think it was reasonble for landlords to assume that, in the worst case, they may not be be able to find a renter but would at least have the ability to live in the house themself. Now they can't even do that.