AMERICA BRACES FOR THE HUNGER MARCHES
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Millions of Americans are at risk of losing a roof over their heads. The US faces a wave of forced evictions of tenants. Due to the supposed coronavirus epidemic in the country, many renters have faced serious financial difficulties and the risk of ending up on the streets.
A similar situation is developing in Europe where for the first time in their lives tens of millions face grinding poverty on a scale never before suffered. In Spain, 150,000 families have been denied their promised ERTE (job furlough) payments. At 16%, Spain is already suffering the worst unemployment rates in history.
According to the US Census Bureau, 60 per cent of households living in rented housing have experienced a job loss or a severe drop in income in recent months. Among those not renting those at risk are thought to make up 45% of homeowners.
Consulting firm Stout Risius Ross warns that by October 2020, up to 12 million American tenants could lose their roof over their heads.
The moratorium on the eviction of residents, introduced in the country, ended on 24 July. In addition, many have stopped receiving “coronavirus” unemployment benefits.
“The current crisis could worsen housing inequality. Low mortgage rates allow homeowners or those who can buy a home right now, to save $100 to $300 a month on mandatory payments. Left behind are those who rent housing and the unemployed who are denied access to the mortgage market,’ said Jeff Tucker, an economist at real estate portal Zillow. Summer 2020 is the best time to buy a home in the United States and the worst for those who rent it, experts say.
Earlier in July, Nobel laureate Robert Shiller predicted a massive collapse in house prices for the United States. In his opinion, the rapid spread of COVID-19 has already prompted many Americans to seek a better life outside of metropolitan areas, and de-urbanization will gain momentum. As a result, the demand for real estate in cities will decrease, which in turn will provoke a drop in its value. Source
MICHAEL WALSH is a worldwide journalist, broadcaster and author of 64 book titles with 36 years experience. Like other journalists of integrity, he no longer writes for corporate media, opting instead for true journalism.
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