Federal Agency Actions Require 30-day Notice to Vacate on Certain Properties

While TAA and NAA maintain the 30-day notice to vacate for covered properties under the CARES Act was meant to be temporary, federal agencies have taken actions to require that notice for certain properties.

KEY TAKEAWAYS

A number of federal housing-related agencies have taken actions to require a 30-day notice to vacate for certain properties.

These actions seem to mirror the requirement in the CARES Act and reflect the Biden Administration’s policy of putting protections for renters in place at properties that are receiving some sort of federal assistance.

Both the Texas Apartment Association and the National Apartment Association maintain that the CARES Act notice provision was meant to be temporary, as was its eviction moratorium. But interpretations of the provision vary, and the associations continue to seek legislative clarification.

This article includes reminders about some of the federal agency provisions in place that require a 30-day notice to vacate.

In keeping with the White House’s statement last June, federal housing-related agencies are taking actions to ensure that property owners whose property has a federally backed mortgage or is receiving assistance from the federal government must provide 30 days’ notice to vacate for non-payment of rent in accordance with Section 4024 of the CARES Act.

The Texas Apartment Association and National Apartment Association maintain that Congress intended this notice requirement to be temporary as the CARES Act eviction moratorium was a “temporary moratorium on eviction filings.” Since 2020, the associations have worked towards a legislative solution or other clarification, and that effort is ongoing.

Here’s a rundown of some of the agency actions that are requiring a 30-day notice to vacate for certain properties. Remember to check with competent legal counsel in these situations.

On October 7, the U.S. Department of Housing and Urban Development (HUD) published an interim rule that requires HUD-subsidized public housing and housing providers whose properties benefit from project-based rental assistance to provide their residents with a 30-day notice that includes information about available federal emergency rental assistance (ERA) prior to filing for eviction due to nonpayment of rent.

Remember HUD’s eviction guidance emphasizes the agency’s department-wide efforts to connect renters to assistance and prevent evictions. The guidance also reiterates the agency’s position on the responsibility of “covered landlords” to provide 30 days’ notice for evictions due nonpayment of rent. Also see HUD’s Office of Multifamily Housing Programs guidance, Question 25, and Office of Public and Indian Housing guidance, EM1 on page 10.

The Federal Housing Finance Agency (FHFA) also announced that residents of multifamily properties with mortgages backed by Fannie Mae or Freddie Mac (the Enterprises) who are subject to eviction for nonpayment of rent must be given 30 days’ notice to vacate before the resident can be required to leave the unit. This requirement applies to all Enterprise-backed multifamily properties, regardless of whether the loan is in forbearance. As part of its efforts to offer multifamily forbearance until further notice, FHFA requires at least a 30-day notice to vacate during the repayment period.

Texas Department of Housing & Community Affairs (TDHCA) has indicated they are proposing to put in their rules, a consistent 30 days’ notice to vacate requirement. Note: this is pending TDHCA board approval.

To learn more, visit https://www.taa.org/news/federal-agency-actions-require-30-day-notice-to-vacate-on-certain-properties/