Tenants, landlords on edge as pandemic forces thousands out of work
April rent cheques due today, but COVID-19 restrictions causing uncertainty
Tenants and landlords have one thing in common right now — they're both worried about rent as COVID-19 takes its toll on jobs and the economy.
Thousands of Ottawans are suddenly out of work as unprecedented restrictions aimed at slowing the spread of the virus force businesses to close and lay off workers.
"Fairly bleak," is how Jay McNicol describes the next few months for him and his family.
McNicol worked freelance setting up audio and lighting for events, while his wife was a cook at an Ottawa restaurant. Within a week and with little warning, both lost their jobs.
That's left the family unable to pay their April rent of $2,250 for their downtown Ottawa townhouse. McNicol said he's trying to work something out with his landlord.
"I'm cautiously optimistic about the [Canada Emergency Response Benefit or CERB] getting out and rolling in the next few days," he said, referring to the federal program aimed at helping Canadians in his position.
But he's also worried that with a sudden glut of applications for EI and CERB, payouts could be delayed. He's also not sure the emergency aid will cover his family's expenses, or even their rent.
"$2,000 a month is not enough obviously to live on for a family," he said.
Landlords worried too
Earlier this month, Premier Doug Ford told Ontarians no one would be evicted for their inability to pay rent, but stopped short of waiving payments.
"Your gut reaction is, 'Oh my God, you know, I have bills to pay and how can you do this to landlords?'" said Lyn O'Callaghan, who owns four buildings in Brockville, Prescott and Chesterville, Ont., with her husband, who manages the properties.
"Your first reaction is terror, because we still have to pay a mortgage. We still have to pay for the lights and the heat and the water," she said.
"If we're not getting our rent from our tenants, then in effect [my husband is] being ... laid off as well, so we're in a very similar situation to where the tenants are."
Despite their initial concerns, the couple has received April rent cheques from 21 of their 23 tenants. O'Callaghan said one who failed to pay is a single mother who lost both her jobs. O'Callaghan said she was able to help the woman come up with a payment plan.
On Monday, the Ford government announced it was extending the state of emergency until at least April 13, keeping all businesses but those deemed essential closed.
"I think that we're just going to see where the dust settles, and that's a pretty scary thing," O'Callaghan said.
