LANDLORD ENGAGEMENT FOR VACANCY SOLUTIONS - HUMAN SERVICES DEPARTMENT FEBRUARY 10, 2021
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HUMAN SERVICES DEPARTMENT
LANDLORD ENGAGEMENT FOR
VACANCY SOLUTIONS
FEBRUARY 10, 2021
6:00 PM
AGENDA Welcome and Introductions Purpose of the Meeting Landlord Testimonials Panelist Presentations Questions & Answers Keep Fremont Housed Emergency Rental Assistance Program Closing
CHALLENGES TO HOUSING OUR COMMUNITY
Rent and Rental requirements are too high
Job & Income Loss since COVID-19 Pandemic
Tenants are asked to make 3 times monthly income
Average one bedroom in Fremont is $2,300 a month; while average income of
clients is below $3,000 a month
Extremely limited options for people on fixed income
Monthly Social Security benefit income range: $794 - $1,400
Client choice
People want to stay in their community; where they are connected to friends and
family
Returns to homelessness increase when people are housed away from their
community
TIME FOR ENGAGEMENT Increased Availability of Resources Supportive Services Housing Vouchers & Subsidies Rental Assistance County-wide Efforts Safer Ground Landlord Engagement Source of Income Discrimination – passed April 2019 Fremont landlords cannot discriminate against existing or future tenants based on their source of income Source of income was expanded to include housing subsidies, or assistance from rental or homeless services programs
LOCAL SUPPORT SERVICES 1. City of Fremont & Islander Program Offers supportive services through case management and care coordination Operates the Islander Program that temporarily shelters people while they work on a transition plan for stable, long term housing 2. BACS & Housing Navigation Center Housing Navigation Center opened in September 2020 Operates the Wellness Center – a drop-in service for housing and employment assistance 3. Abode Services & Sunrise Village Provides street outreach, housing navigation, and care coordination Operates both the Newark Safer Ground and Sunrise Village programs
LANDLORD TESTIMONIALS
Larry Luckham
Mary Wang Oskamp
Setting the Standard for Property Owner Connections in our Community
• 1541 Property Owners currently partnered with BACS
• 657 BACS clients in safe affordable housing units in
2020
• 25 highly skilled Housing Locators and Landlord Liaisons
• Seasoned Real Estate professionals providing
leadership
• Outstanding tenant supports include case management,
mediation, education and community resources
Supportive
Affordable Services and Ending
Housing Financial Homelessness
supports
Why Partner with BACS?
• Virtually eliminate all operating expenses e.g. vacancy
loss, marketing, turnover costs and cost of damages
• Streamlined application and lease up process. We
fund right away!
• Cash incentives! $1000 for 1st move in, $500 each
additional move in!
Incentives Rent
Damages Security
$1000 payments
Up to Deposits
1st move in On time
$4000 Up to 2 months monthly
$500 In addition to any rent payments!
each additional Security Deposit
move in
“I have been working with BACS for 3 years now. I have
experienced a very good relationship with them. My Facility is full of
BACS clients right now.”
Anita Lueder of Shanti Independent Living
BACS COMMUNITY PARTNER TESTIMONIALS
“Without having partnered with Bay Area Community Services (BACS), providing
supportive/housing assistance payment programs, case management to help
support those who are unsheltered and unstable. A Diamond in the Ruff would “BACS has been a good resource. BACS doesn’t put people
not be able to provide housing to 24-single women and families we currently
in situations where they won’t succeed. BACS goes above
house now. BACS and A Diamond in the Ruff have been working together for over
a year to develop a course of action, to help address and correct the unsheltered- and beyond the call of duty”
homeless population here in/and around the Bay Area. In doing so BACS has been
Trena Burton of Family Affairs
able to; expedite and process paperwork and landlord payments in very timely
manner, while accommodating both the client and the landlord immediately.”
Tracey Nails-Bell- Executive Director of A Diamond in the Ruff, Incorporated
WHO DO WE HOUSE AND
HOW DO WE HOUSE THEM?
F E B R U A RY 2 0 2 1SECTION 8 HOUSING CHOICE VOUCHER
PROGRAM
• Section 8 regulations have evolved since 1974. Currently:
• Tenant income cannot exceed 50% Area Median Income (called ‘very
low income’). $58,750 for family of three in Alameda County.
• But 75% of a housing authority’s Section 8 participants must have an
income that doesn’t exceed 30% of the Area Median Income (called
‘extremely low income’). $35,250 for a family of three in Alameda
County.
• A family pays 30% of its adjusted gross income for rent. This is the
national standard for affordability.
• 30% of $35,250 is $881.25 on a monthly basis.
• The housing authority pays the landlord the difference between the
tenant rent share and the rent on the housing unit, up to a limit called the
payment standard.
11HACA’S RESPONSIBILITY VS. LANDLORD’S
RESPONSIBILITY
HACA Landlord
Screens family for Section 8 program Screens family for suitability as tenant
eligibility
Inspects unit at beginning of tenancy Inspects unit during and at the end of
and biannually while assisted tenancy
Pays HAP Collects family rent portion
Enforces Section 8 program Enforces Lease requirements
requirements
Terminates program assistance Terminates tenancy/evicts family
12HACA’S PROGRAMS
• Family Self-Sufficiency Program
• HUD-VASH Program to house homeless veterans
• Shelter + Care Program to house homeless persons with
disabilities
• Mainstream Voucher Program to assist non-elderly persons with
disabilities
• Foster Youth to Independence Initiative (FYI) to house young
persons (under 25) aging out of foster care
13THE LANDLORD ADVANTAGE • Guaranteed payments • Free rental advertising • Freedom to choose your own tenants • Free inspections • Easy paperwork • Flexible lease terms
PROVIDING A PLACE TO CALL
HOME
A N I NI TI ATI V E FOR P R OP ER TY OWNER S I N A LA MEDA
COUNTYARE YOU AN ALAMEDA COUNTY PROPERTY OWNER/HOUSING
PROVIDER SEEKING STABLE TENANCIES, RENTAL INCOME AND A
WAY TO HELP YOUR COMMUNITY?
• Seeking Alameda County property owners with units to lease
• *programs are currently most in need of Studio and
1BR units**
• Programs helps match residents in need of
housing with available units
• Property owners are connected with a local
nonprofit agency that helps to match clients
to units, manages monthly rental payments, deposits, etc. and
offers ongoing services for clients and property owners.GOALS AND TARGETS • Engage our community in helping to ensure everybody has a place to call home. • Building strong and lasting partnerships with property owners will help us work towards ending homelessness in Alameda County. • Our aim is to identify at least 300 housing units by March of 2021.
BENEFITS TO HOUSING PROVIDERS
• Guaranteed on-time monthly payments
• Financial incentives for property owner/housing provider
• $1,000 cash incentive ($500 incentive for current landlords), double the rent
for security deposit, $4,000 damage guarantee
• A single point of contact assigned to property owner/housing
provider to help with any tenant issues
• Resident support services — tenants will be offered a case manager
to support the long-term success of the tenant
• Low turnover
• 24-hour emergency phone number
• Post move-in assistance for clients
• Risk mitigation fundPUTTING A HUMAN FACE ON HOMELESSNESS
• There is no single profile for those experiencing homelessness in
Alameda County. The County’s homeless population includes:
families with children, seniors, people with disabilities, veterans
as well as single adults and youth.
Did You Know?
• 80% of people experiencing homelessness in Alameda
County lived in the county at the time they lost their
housing.
• Seniors and people with disabilities make up
approximately 54% of the adult-only households that
are homeless, or at risk of homelessness in Alameda
County.
• More than 12% of the population in need of housing
are families with minor children.THE ABODE DIFFERENCE: HELPING LANDLORDS HELP PEOPLE IN NEED
LIKE SECTION 8…
• A large portion of the tenant’s rent will be
subsidized to provide stable housing for our
clients
• Subsidized portion will be fully guaranteed
for the term of the lease
• Coupled with $4,000 Damage/Eviction
Mitigation Fund this extremely reduces any
liability to Landlord
• 1 year leaseUNLIKE SECTION 8… THE ABODE DIFFERENCE
• Subsidized Portion of the rent will be paid on time
• Will have responsive support dealing with Client regarding breaches
of lease and non-payment of rent
• Coupled with $4000 Damage/Delinquency Mitigation Fund this will
extremely reduce any liability to Landlord
• Capacity to take on units all over Alameda County and the Bay area
• Provide Financial Incentives to Help Increase Cash Flow
• $500-$1000 Unit Placement Bonus (Per Unit!) upon lease signing
• Able to begin Accruing Rent With Landlords as soon as unit passes inspection
• Reduces time between paying tenants from Market avg 6-8 weeks to Abode LL
Avg less than 2 weeks, increasing cash flowWE CAN INCREASE YOUR CASH FLOW EVEN
WITH LOWER RENTS…
Market Rent Breakdown (Per Month)
$2,150.00 Gross Rent: $2,100.00
$2,100.00 Concession Cost/Unit: $21.00 (1%)
$2,050.00 Commission Cost/Unit: $21.00 (1%)
$2,000.00 Delinquency Cost/Unit: $21.00 (1%)
$1,950.00
Vacancy Cost/Available Unit: $225.00 (10.7%)
$1,900.00
Net Effective Rent: $1,833.00
$1,850.00
$1,800.00
$1,750.00
Abode Housing Partners Breakdown (Per Month):
$1,700.00
Gross Rent: $1,934.00
$1,650.00 Concession Cost/Unit: $0
Commission Cost/Unit: $0
Abode Housing Partner Market Landlord
Delinquency Cost/Unit: $0
Vacancy Cost/Available Unit: $46.05 (2.4%)
Net Effective Rent: $1,887.95QUESTIONS?
Interested in partnering with any of these programs?
Please contact us!
E-mail: ntolentino@fremont.gov
Phone Number: 510-574-2088
24HUMAN SERVICES DEPARTMENT
COVID-19 RENTAL
ASSISTANCE
F E B R U A RY 2 0 2 1COMBINED RENTAL ASSISTANCE
Direct
State Allocation
All Grantees Treasury Totals
to AC
Allocation
Alameda County $ 29.8 M $32 M $61.8 M
Fremont $7.2 M $7.7 M $14.9 M
Oakland $12.8 M $13.8 M $26.8 M
Total $50 M $53 M $103.0 M
26FEDERAL REQUIREMENTS
Eligible Applicants
• Households below 80% AMI who have had a
loss of income due to Covid-19
• States and localities are required to prioritize
households below 50% AMI or those that have
been unemployed for at least 90 days
Amount Allowed
• Up to 12 months of back rent
• Additional forward payments of rent for an
additional 3 months of future rent if necessary to
preserve housing stability
• Utility payments are eligible
27STATE EVICTION MORATORIUM & RENTAL
ASSISTANCE
SB91 – Passed Thursday 1/28/21
• Governor Newsom and legislative leaders
agreed to extend the state eviction moratorium
to June 30, 2021
• Funds rental assistance from the State’s portion
of the federal stimulus to pay 80% of back
rent owed by tenants as long as landlords
waive 20% of rent owed.
• Tenants whose landlords do not waive receive
25% of rent owed, protecting those tenants
from eviction but not solving the tenants debt.
28EVICTION PROTECTION
• What does a tenant need to do to be protected from eviction for
non-payment of rent under SB 91?
• Return a declaration of COVID-19 related financial distress,
signed under penalty of perjury, and returned within 15
business days of receiving a notice to "pay or quit." The
landlord may request that the declaration be filled out monthly
with every notice to “pay or quit.
• Pay 25% of the total rental arrears owed between September
2020 and June 2021 by June 30, 2021.
• Please note, this payment does NOT need to be made monthly.
The tenant household only needs to pay 25% or more of the
total rental arrears owed between September 2020 and June
2021 by June 30, 2021.EVICTION PROTECTION
• What type of eviction(s) does SB 91 protect against?
• Tenants who both pay 25% of their rent owed between
September 2020 and June 2021 by June 30, 2021 and
provide their landlord a declaration of COVID-19
financial distress are forever protected from eviction for
non-payment of rent for their rent due between September
2020 and June 2021.
• SB 91 does not protect tenants against lawful "Just Cause"
evictions for legally valid reasons other than non-payment
of rent (for example: health and safety violations or
destruction of property).STATE REQUIREMENTS
Options for Local Government to Consider
A. Give Federal funds to State to administer on behalf
of local governments – with State responsible for all
parts of the program and using State requirements.
B. State gives local governments their portion of the
grant, but local government has to administer the
local program (both state and federal dollars) with
the State requirements and receive no admin for state
funding
C. State keeps its funds and spends locally, local
governments keeps their funds, but local required to
ensure that there are no duplicative applications.
31CITY OF FREMONT, OAKLAND, AND ALAMEDA
COUNTY ARE ALL CONSIDERING OPTION C
• Not equitable as it impacts smaller landlords who may
not be able to waive rent.
• Does not include administration funds to distribute state
funding.
• Will allow the state to administer a separate program
within Fremont.
• Both programs will most likely operate at the same
time.
32QUESTIONS?
• Subscribe for information on Keep Fremont Housed Emergency Rental Assistance
Program:
www.Fremont.gov/frc
Phone number: 510-574-2028
• To partner with any of our non-profit housing organizations contact:
E-mail: ntolentino@fremont.gov
Phone Number: 510-574-2088
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