Mar 07

The article linked below is so wrongly anti-housing provider. If the rent is paid, the need for free legal representation disappears in most cases. Discriminatory housing policies are not those of the property owners. We want our houses full as that is the only way we make money. Instead, for the most part, discriminatory housing policies were created years ago through government programs. But now, we are being made the scapegoat by the very governmental bodies that created this mess. 

Redlining of mortgages and insurance, leading to housing segregation or worse? These were federal government-mandated rules. https://en.wikipedia.org/wiki/Redlining

But articles like the one below try to paint property owners and managers as the causation. The truth is housing and renters must succeed for the other to succeed as well. We are two sides of the same coin. There are those who profit from encouraging conflict between owners and renters. This harms both residents and housing providers alike.

Contrary to the conclusion of the article, rental assistance is the solution. If the U.S. enacted a FoodShare for Housing program, where people below a certain threshold would receive portable housing vouchers, this would change many urban American problems. Multiple studies show the costs of such a program to the taxpayer are less than what we now pay for intervention when renters fail. 

Addressing extreme housing precarity requires more than rental assistance; it requires an overhaul of the system and redress of the longstanding discriminatory housing policies that led to this moment.

https://theappeal.org/the-lab/explainers/the-american-eviction-crisis-explained/
Jan 24

Separate from any eviction moratorium that was applicable to lessors under the CARES Act, evictions of persons from properties securing FHA-insured Single Family mortgages, excluding actions to evict occupants of legally vacant or abandoned properties, are also suspended through March 31, 2021.

https://www.hud.gov/sites/dfiles/OCHCO/documents/2021-03hsgml.pdf

Note this covers all tenants in HUD insured single family properties

Dec 22


https://www.jsonline.com/story/news/2020/12/22/landlords-tenants-say-rent-assistance-needed-part-eviction-ban/3932908001/

“I  don’t think a landlord should be expected to shoulder the burden of taking care of a property for several months or a year,” when a tenant stops paying rent, said Dawn Anastasi, a landlord who owns 18 properties on the northwest side of Milwaukee. “It’s not the tenant’s fault, but it’s not the landlord’s fault either.”

Even with the rent assistance, landlords will be left holding the bag for much of the unpaid rent, predicted Tim Ballering, treasurer of the Apartment Association of Southeastern Wisconsin.

“The unpaid rent will never be paid, let’s be honest about that,” Ballering said, noting that even when a tenant is evicted the landlord seldom collects the past due rent. 

As a result, Ballering, who is also a landlord, predicted a spike in the number of local landlords who sell their properties to large absentee rental companies.

“Is that a good thing or a bad thing?” Ballering asked. “That depends on your views. Do you think that the small American farmer being driven out by large corporate farmers is a good thing?”

Heiner Giese, attorney for the association, said the $25 billion in rent assistance will be helpful though he agreed it would likely only last a couple of months.

Giese noted that the federal bill will allow landlords to file for rent assistance, unlike other rent assistance programs that require the tenant to apply

Giese, who is also a landlord, said he has seen cases where tenants signed the required CDC declaration that protected them from eviction but then did not apply for any rent assistance.

“They would just say he’s going to evict me anyway, so screw it,” Giese said.

Dec 19

I am hearing from more and more owners who are not paying their mortgages, utilities, and even fire insurance because they can’t, due to uncollected rent.  Maintenance was the first casualty.  

If you are facing similar problems and would be willing to share with your elected officials and or the media, please email me. Tim[at]ApartmentsMilwaukee.com

https://www.cnn.com/2020/12/17/success/landlords-struggling-rent-eviction/index.html

If landlords are struggling, tenants will also be affected as home maintenance slides.

“I’m seeing landlords who can’t pay for trash removal,” Gray said. “We’re getting ‘no heat’ calls. They aren’t paying real estate taxes. They aren’t paying their mortgage.”

For the typical landlord in trouble, which he said is someone who bought their property in the last five years and is leveraged to the hilt, there are no reserves. “Despite tenant protection laws, these landlords don’t have the cash reserves, nor the equity in their building to get loans,” he said. “With the moratoriums, they’re taking hit after hit.”

Some landlords, he said, are being paid less and seeing the wear and tear on their property increase as grown children or friends double up after losing their own housing. Routine maintenance that was supposed to take place this year has in some cases been delayed or canceled because landlords just don’t have the money, said Gray.

“They can legislate the need to do timely repairs,” he said. “But for many landlords, there is no money.”

Dec 13

The Apartment Association of Southeastern WI, with 24 other organizations, joined Milwaukee County Exec David Crowley in urging the Wisconsin Congressional Delegation to approve a meaningful relief package to ensure the viability of communities and housing.  

Moody’s was reporting last week that unpaid rent may reach $69.9 Billion by the end of this month, an amount that will devastate rental housing for years or decades. The only solution is Federal rental and economic assistance to help those who have lost their income due to the COVID economic crises. 

If after reading the letter included below, you agree with it, please write your Congressperson and Senator. It is easy using democracy.io


WISCONSIN COALITION SUPPORTS IMMEDIATE COVID RELIEF

December 9, 2020

Dear Members of the Wisconsin Congressional Delegation,

We write today to ask for your support in securing bi-partisan legislation that provides critical additional assistance to communities throughout our state, including local and tribal governments, businesses, non-profits, and first responders to address the ongoing public health and economic impacts of the COVID-19 pandemic.

We sincerely appreciate the previous three relief measures enacted by Congress and executive action by the President, However, the public health and economic impacts of the pandemic continue to grow. As a result, an immediate and unified response that provides additional support is critical to supporting efforts to contain the virus and mitigate the consequences of this unprecedented crisis.

As members of a diverse coalition of leaders in our state, we can attest to the severe economic and public health impacts facing our members, economies, and the communities we support. Without additional federal financial support, the immediate negative consequences will be significant, and will be compounded by severe long-lasting effects. Additional federal aid will enable a continued joint response from the public and private sector, and supporting partnerships between local governments, businesses, and their communities to mitigate the economic, health, and public safety impacts of COVID-19.

For example, Milwaukee County recognized the value of these partnerships early in the pandemic. In addition to direct virus mitigation and recovery measures, the County partnered with businesses and non-profits to address the collateral damage inflicted by the pandemic, especially to communities of color. This partnership resulted in Milwaukee County utilizing roughly one-third of its direct CARES Act allocation to immediately address housing and foreclosure needs, issue small businesses grants, and partner with community groups to address mental health and food assistance needs.

This unprecedented situation requires action at scale with the problem. Addressing the issue now with bold solutions will prevent larger systemic economic damage. To enhance the fiscal responsibility of this legislation, reasonable guardrails could require COVID-19 relief dollars be tied to the public health, economic, and community impacts of COVID-19, ensuring resources are utilized in the most effective and efficient manner possible.

As evidenced by the diversity of the groups who have signed on to this letter, the effect of delaying further relief will have second- and third-level impacts on business, property owners, and a multitude of other industries throughout the state.

We sincerely appreciate your earlier efforts to assist our communities in addressing this crisis. However, we request further action – a bi-partisan solution that provides additional resources to address the public health and economic impacts of this pandemic. Our businesses, employees, and communities depend on the continued support of our federal government in these trying times.

Respectfully,

Apartment Association of South-Central Wisconsin, Inc.
Apartment Association of South Eastern Wisconsin, Inc.
Children’s Wisconsin – Milwaukee Hospital
Commercial Association of REALTORS Wisconsin
Community Advocates, Inc.
Cooperative Network
David Lubar
Feeding America Eastern Wisconsin
Greater Milwaukee Committee
Manpower Group
League of Municipalities
Legal Aid Society of Milwaukee
Metropolitan Milwaukee Association of Commerce
Milwaukee County Commission on Aging
Milwaukee County Executive David Crowley
NAIOP Wisconsin
Potawatomi Tribe
Visit Milwaukee
Wisconsin Apartment Association
Wisconsin Bankers Association
Wisconsin Counties Association
Wisconsin Credit Union League
Wisconsin Mortgage Bankers Association
Wisconsin REALTORS Association
Wisconsin Restaurant Association

Dec 11

If any of you would like to be interviewed for this project, please reach out to Nick or I.

Tim Ballering Tim@ApartmentsMilwaukee.com
Nick Sakalis realestateplateradio@gmail.com>

I wanted to share these videos just in case you haven’t seen them yet. Let me know your thoughts.

https://youtu.be/pf_bcZrHI88

In the meantime there is a channel dedicated to collect all landlord related videos throughout YouTube in one place. We’ve already assembled a fair amount of content and adding to it everyday. Yours could be next. 😉

This is the link:

https://youtube.com/channel/UCOL_3jEcndU3kxKCjyXqM6g

Dec 08

We are trying to get a handle on what percentage of uncollected rent is not reflected in eviction judgments.  Any data you share will be aggregated and will not identify you when we share our findings.

This information should be only for your Milwaukee County rentals.

  • How much rent went uncollected?
  • How much of the uncollected rent was included in eviction judgments? Do not include damages or money judgments that were not part of an eviction.
  • OPTIONAL:  How many units do you own or manage in Milwaukee County?

You can email me directly

There is an average of about a million dollars a month in Milwaukee County eviction judgments.  Our initial survey shows this represents somewhere between a quarter and a tenth of the total unpaid rent, which in turn means your tenants who are paying as they should are paying an extra $49 to $123 per month to cover those tenants that do not pay.  

Five years after the eviction has concluded only 2.5% of eviction judgments are paid.

Tim Ballering
Tim@ApartmentsMilwaukee.com

Dec 06

A member wrote on the free Apartment Association listserv wrote:

I have a single family in Milwaukee county that the tenants are late almost every month. Usually I work with them but they haven’t been answering my calls. Can I give a 5 day notice to pay or vacate?
I’m not really sure what’s legal with the eviction moratorium.

CARES ACT: If the property has a federally backed mortgage or you are receiving Section 8, you are probably prohibited from serving a notice until at least 1/1/21. You would need to serve a 30 day notice for any money due in 2020.

CDC Moratorium: Judge Conley, who is in charge of evictions in Milwaukee County, has recently ruled that the moratorium does not prohibit serving a notice or filing an eviction even if you received the CDC Declaration.

If your property is not covered CARES or CDC you can serve notices and file evictions.

But … Have you considered attempting meditation?

We tried pre filing mediation before the WI moratorium ended. In our experience it delivered results similar to what you would get in a stipulated dismissal, but with far less confrontation and the added benefit of the mediator helping the tenant apply for assistance. We had a number of cases that would have resulted in displacement, but were positively resolve because of mediation.

In fact this has worked so well that we implemented a policy that we attempt mediation for all non payment situation prior to filing. Our company policy of pre filing mediation will remain in effect even after the COVID crises ends, because it works.

Mediate Milwaukee 414-939-8800 or emailing apply@mediatemilwaukee.com.

Nov 28

There are those who see rental housing as a zero-sum game — the only answer to the COVID rental economic crises is to have the property owners absorb all the lost rent.  

What we learned from looking at the September 2015 and May 2019 Milwaukee County eviction data that less than 2.4% of eviction judgments are paid even after five years, with less than seven tenths of a percent paid within six months.  

So when you read of $50-120B in rent debt due before the economy returns, that means someone is expecting $47.5B to $117B will be borne by housing.  

The right answer is for renter advocates and housing advocates to work in unison to get the funding necessary to prevent evictions and stabilize rental housing .

If the rent is paid, people will not need to worry about eviction, nor will they have to worry that rental housing will fail, also leaving them homeless and facing higher rents in the future. And let’s not forget the cost of housing foreclosures on municipal budgets.

Nov 14

Two must view videos.  They tell our story well and the quality of the video work is great.



Have your own story that you want to share?  Send me your contact info to tim@apartmentsmilwaukee.com and I’ll put you in touch with Nick Sakalis, who produced these.  

preload preload preload