Housing Is a Frontline Defense Against the Coronavirus

“Housing became the front line defense against the coronavirus,” says Jennifer Litwak, executive director at Housing on Merit. Stay at home measures highlighted the importance of safe and affordable housing nationally, but as Litwak says, that isn’t available to everyone.

“Across the Nation we were legislated to stay home,” Litwak tells GlobeSt.com. “This is based on the assumption that one’s home provides protection against contracting and spreading the virus. This is not always the case. Approximately 1.8 billion people worldwide live in homelessness, informal settlements and grossly inadequate housing, often in overcrowded conditions, lacking access to water and sanitation – making them particularly vulnerable to contracting the virus, as they are often suffering from multiple health issues. ” She plans to speak on the topic of affordable housing at the GlobeSt.com Apartments conference October 26 and 27.

As a result of stay and home measures, affordable housing investment has increased through the pandemic—but there has also been increased support for affordable housing. “On August 18 Senate Finance Committee Chairman Ron Wyden announced sweeping housing legislation that includes enhancements to the low-income housing tax credit (LIHTC) and the introduction of the middle-income housing tax credit (MIHTC) and neighborhood homes tax credit (NHTC),” says Litwak. “The Decent, Affordable, Safe Housing for All (DASH) Act, which was formally introduced in September—would provide an expansion of 9% LIHTC annual allocation, provide a 50% basis boost for properties for extremely low-income renters; reduce for four years the 50% financed-by test for tax-exempt-bond-financed properties, provide a potential 30% difficult development area basis boost for rural and Native American properties and more.”

The benefits are numerous. The legislation will also create a 5% and 2% MIHTC for rental housing that supports low-income residents making between 60% and 100% AMI, according to Litwak, a NHTC of up to 35% of the qualified development cost or 80% of the national median sale price for new homes and a renter’s tax credit for affordable housing operators providing housing to people making 30% AMI. Lastly, Litwak notes that the program will create a first-time homebuyer refundable credit for 20% of the purchase price of a home, up to $15,000.

Along with the support of the creation and preservation of affordable housing Litwak also notes that existing renters are also getting support in the wake of expiring eviction moratoriums. “Last week the House Financial Services Committee reported a marked-up Expediting Assistance to Renters and Landlords Act of 2021 (H.R. 5196) to the House, which, if enacted, would make significant changes to the Emergency Rental Assistance Program (ERAP),” she says. “The bill would allow landlords to apply directly for back rent even when tenants are unresponsive, as long as the landlord provides notice to the tenants.”

It would also prohibit landlords receiving assistance from evicting tenants for up to 120 days. “Grantees must accept self-attestation of tenants and provide payments directly to tenants when the landlord is unresponsive or refuses to participate,” adds Litwak. “The bill would also extend the program to provide up to 24 months of assistance, 20 of which could cover arrears and four of which could cover future rent. The bill also provides $50 million in funding for outreach to increase public awareness and technical assistance for grantees.”