IDHA has just released more info on the upcoming program for renter's assistance. This program stems from the newly-passed CARE Act in late December. The organization has $500 million dollars to hand out to renters who are behind due to COVID.
When will applications come out?
Applications should be hitting the website
by the middle of May.
Who can apply?
First off, unlike the program in 2020, applications are done by the landlord and then confirmed by the tenant. If you have a tenant that is 30 days or more behind that has experienced a cCOVID-related hardship, then you can apply.
Being laid off
Place of employment has closed
Reduction in hours of work
Loss of spousal/child support
Inability to find work due to COVID-19
Having to stay home with children due to closure of day care/school
Unable to participate in previous employment due to the workplace’s high risk of severe illness from COVID-19
Also, the tenant’s income can not exceed 80% of the area's median income.
How much of a grant can the renter get?
The grant can cover back pay of up to 12 months, plus 3 additional months of ongoing assistance, for a total of 15 months - or up to $25,000.
What documents are required?
Evidence of past-due rent
Copy of 2019 Property Tax Bill or 2021 monthly mortgage statement
Grant payment information for check distribution
Current signed lease (if available)
SSN or ITIN
Employer Identification Number (if payment is made to a business entity)
Rental unit information (unit type, address, rent amount)
Fully executed and current property management agreement (if payment is made to a property manager)
Valid email address
Government-issued photo ID
A utility bill or proof of address (if the address on your ID is not your current address)
Monthly rent and amount past-due
Proof of household income in 2020
Proof of public assistance (if applicable)
Valid email address
Proof of immigration status (or social security number) is not required
My tenant got the 5k grant last year. Can they still apply?
Yes! However, it is only for January 2021 to August 2021 rent. Unfortunately, if they were behind for rent not paid in 2020, that is no longer eligible.
Can I apply for my tenant who moved out?
No. The tenant must be in the home, and it must be their primary residence. Also, you can not evict for any money due that is covered in the grant.
What’s the catch? "Free" is never free!
A few things: First, you will have to agree to waive all late fees and other penalties for non-payment. And second, you will have to stop any eviction that you have filed, or are planning to file, until the money they received has been used up for any balance they may have.
Tired of chasing tenants for rent or trying to find a repairman for things that go wrong in your investment property? Give Chicago Style Management a call! Learn how we can help you manage your property! We will work with your tenants who are late on rent to get grant money and help get them back on track. Call us at 224-601-5415