California had just passed a bill on late Monday, granting the extension of eviction moratorium, giving renters protection from getting kicked out of their homes.

The extension of the eviction moratorium is specifically crafted to help Californians amid the COVID-19 pandemic.

The bill was passed in both houses of the California legislation. It was done in the final hours of its two-year legislative session, according to The Wall Street Journal.

Extension of the eviction moratorium also takes into account what is believed to be a coming wave of evictions.

California Governor Gavin Newsom crafted the bill with legislative leaders, tenant advocates, and landlord groups last week. He immediately signed it into law, and it takes effect right away.

As the state's economy is still at a standstill, backers say it will help keep 17 million people housed as the crisis continues.

Newsom knew that COVID-19 had made an impact on many people in the state, most notably with tenants.

For Newsom, the new law will protect tenants from eviction and keep homeowners out of foreclosure.

Until When Can Renters Feel at Ease?

The extension of the eviction moratorium will cover not all renters. People will have to submit a form each month declaring they face a COVID-19 related hardship and can't pay their rent, said Forbes.

San Francisco Chronicle noted that evictions would be stalled until February 1 for tenants who declared a loss of income due to the pandemic.

If a person does not make any formal declaration, their landlord can evict them for not paying to start October 5. Even if they did declare hardship, a person who gets evicted could have his landlord fined $1,000 to $2,500.

A renter's back rent owed from March 1 through August 31 of this year will be turned into consumer debt. This can't be used as grounds for eviction.

If a tenant wishes to receive constant protection, they would have to pay at least 25% of the total rent they owe from September 1 to January 31.

Sen. Anna Caballero said the goal of the moratorium extension is to protect tenants and also encourage banks. In a Los Angeles Times report, she said letting them take part and making sure they don't foreclose homes.

Their balance will also become consumer debt. Landlords can claim these payments in small-claims court by March 1 of next year.

While this buys more time for people to stay housed, this does not excuse them from paying their dues. Even the bill's strongest supporters said it would only stop the financial woes.

It will not do much unless and until the government gives more stimulus to help renters and landlords afloat.

Brian Augusta of the California Rural Legal Assistance Foundation said he is also supportive of the bill. But he also noted that tenants need more protection. An extension of the eviction moratorium won't do for him.

In a public hearing on Saturday, he told senators that he did not see the bill as a solution.

For landlords like Debra Carlton, the solution is financial aid. Support from the federal government will allow them to pay their rent, she said.

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