Real Estate

Newark Will Use $14M In Federal Aid To Help Renters, Landlords

Newark will use $14 million in federal coronavirus relief funds to help struggling renters and landlords amid the pandemic.

NEWARK, NJ — Newark will use $14 million in federal coronavirus relief funds to help renters and landlords struggling amid the pandemic, officials announced Wednesday.

Newark is preparing to launch a third round of its Emergency Rental Assistance Program (ERAP), which will tap $14 million in federal funding from the U.S. Treasury made available through the American Rescue Plan.

Qualifying households will be able to receive up to 15 months of assistance towards arrears or future rent, and, in some cases, the possibility of utility assistance. More details about the program can be found at www.NewarkCOVID19.com.

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Property owners are encouraged to pre-register once landlord registration goes live on July 19 to receive direct payments on behalf of approved tenants.

Newark tenants will be able to apply for the program once the tenant application goes live on July 26.

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“COVID-19 continues to impact our communities, shining a light on long-term economic inequalities and causing acute short-term needs – like keeping current with rent while struggling with job losses or reduced hours,” Mayor Ras Baraka said.

“Our Emergency Rental Assistance programs will help more than 6,000 Newark residents remain in their homes and avoid the crushing debt that can lead to evictions,” Baraka added.

According to city officials, the previous two rounds of the ERAP helped more than 1,900 Newark households to stay in their homes amid the pandemic. Those rounds of aid also got federal funding through the Coronavirus Aid, Relief and Economic Security (CARES) Act.

QUALIFICATIONS FOR ASSISTANCE

The application process will be managed by the City of Newark Department of Economic and Housing Development (EHD). To ensure the most vulnerable households receive assistance, applicants who have been unemployed for more than 90 days or have a household income at or below 50 percent of AMI will be prioritized.

To receive assistance, applicants must:

  • Be a Newark resident
  • Have a 2020 household income at or below 80% of the Area Median Income (AMI) in Newark
  • Either qualify for unemployment or have experienced a reduction in household income due to COVID-19
  • Be currently responsible for paying rent at their primary residence
  • Be currently responsible for paying utilities for their primary residence (unless utilities are included in their rent)

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