Higher rent and lower income will be a painful combination
The great rental reshuffle is coming in August.
That's when the federal moratorium on evictions ends. It means that 8 million households are at risk of being throw out.
Barron's wrote about it this week:
Weekly data from the U.S. Census Bureau show 15% of people in renter-occupied housing units are behind on rent payments. That's double prepandemic levels, according to National Equity Atlas, a partnership between the research institute PolicyLink and the University of Southern California.
How this shakes out is tough to forecast. The new supply of rental homes could be disinflationary after a tight period for renters. On the flipside, the disruption of widespread evictions could cause tremendous pain for lower-income Americans.
Another survey showed 1 in 4 of about 51 million households surveyed said they have no confidence or only slight confidence that they will make next month's rent payment.
In the US, it can take as little as two weeks or as long as four months to evict someone, depending on the state.