Oakland property owners are experiencing considerable financial distress, with some reporting substantial losses, as the city navigates the aftermath of its COVID-19 era eviction moratorium. The sentiment, encapsulated by a tweet from Seneca Scott stating, "I Lost $200K on My House! — Oakland Property Owners Are Hitting Their Breaking Point," reflects a widespread struggle among landlords to recover from years of unpaid rent. This comes as the city grapples with the full implications of the moratorium's expiration.
The Oakland eviction moratorium, initially enacted in March 2020, was one of the longest-standing in California, prohibiting nearly all evictions for over three years. Despite pressure from property owners, the city's ban on residential evictions finally sunset on July 15, 2023. This prolonged measure, intended to keep residents housed during the pandemic, led to significant financial burdens for many landlords who went without rental income.
Property owners have reported collective losses amounting to "tens of millions of dollars" due to tenants' inability or refusal to pay rent during the moratorium period. While tenants are still legally obligated to pay back rent accrued between March 2020 and July 14, 2023, they cannot be evicted for non-payment if they can demonstrate COVID-related financial hardship. This distinction has left many landlords in a precarious position, unable to evict non-paying tenants from that period, even as they face their own financial responsibilities.
Landlord associations and individual property owners actively protested the moratorium, arguing it constituted an illegal "taking" of their property. However, a federal judge dismissed a lawsuit challenging the Oakland and Alameda County eviction bans in September 2024, ruling they were not illegal confiscations of property. The city of Oakland has launched educational campaigns to inform both tenants and landlords of their rights and available resources as the community adjusts to the post-moratorium landscape.