Repayment framework for tenants and landlords released
Photo by Tanner Wallace-Scribner, MyCaribooNow staff
The Government of B.C. has released the details of a repayment framework that will be put in place later this summer.
The framework is designed to help renters and landlords transition, and tenants with money owed should have been paid earlier to maintain their housing when the ban on evictions for non-payment of rent if lifted ahead of September 1.
The framework has been created so renters will not have to make their first payment until the first rent due date, following 30 days of notice from the repayment plan’s date. The province predicts this will be October 1 for most renters, assuming their landlord provides them with a repayment plan before the end of August.
For example, a renter owing $2,000 in unpaid rent will receive a repayment framework that sets out:
- the total amount of rent still owed ($2,000);
- the amount the renter is expected to pay each month, with the total owing split into instalments (e.g., $200 each month from October 2020 to July 2021);
- The date of the first payment is due (October 1, 2020).
The province recognized that many renters and landlords worked together to make arrangements during this crisis. The framework will also leave some flexibility for landlords to work with renters to adjust the payment amounts further.
Two other emergency measures related to rentals will also be extended.
In the early stages of the pandemic response, landlords were temporarily prohibited from charging rent increases as part of the government’s efforts to help people financially impacted by COVID-19. These rent increases will continue to be restricted until December 2020.
Also, to protect the health of building residents, landlords will continue to have the ability to restrict access to shared spaces when required for COVID-19 related health reasons.