Subsidized housing tenants face eviction at higher rates, PSU report finds

Downtown Portland | Photo by NashCo

Once a tenant can secure subsidized housing, they should be able to enjoy stability. But new research from Portland State University's Evicted in Oregon project shows that's not a guarantee. The study, which is the first of its kind in Oregon, found that more than 5,400 renters faced eviction from subsidized housing between January 2019 and December 2023.

There were more than 67,000 total eviction cases filed in Oregon during the study period, meaning evictions in subsidized housing represent a small fraction of those cases.

"However, while eviction case filings in affordable housing were less common compared to unsubsidized housing, once an eviction case was filed, subsidized tenants are more likely to get an eviction judgment," said Yi Wang, senior research associate in PSU's Center for Urban Studies and author of the report.

Wang found that 39% of cases filed in subsidized housing resulted in an eviction judgment, as compared to 32% in the private rental market. These significant eviction rates occurred despite two years of renter protections during the COVID-19 pandemic.

"Even with those tenant protection policies, we still saw more than 5,000 cases filed in subsidized affordable housing in five years, with more than 1,700 occurring last year," she said.

Although the report only looks at data between 2019 and 2023, Wang said data from the first six months of 2024 show the number of eviction cases filed in subsidized housing has only gone up.

"In the first half of 2024, there were already about 1,200 eviction cases filed in subsidized housing. That's about 10% of all the eviction cases filed in Oregon this year," Wang said. "To put it another way, for every 10 eviction cases filed in Oregon, one is from a subsidized housing unit."

The subsidized housing included in this study makes up about 14% of total rental housing units in the state.

The findings show that based on cases analyzed, some housing providers file at higher rates than others. Management companies contracted with housing authorities were among the most frequent filers.

"Those third-party management companies are more likely to file eviction at a higher rate," Wang said. "Some operate with more compliance-oriented lease enforcement policies similar to what is used in the market-rate sector."

Adding language to the management contracts that require companies to behave in a more tenant-focused way could help alleviate the issue.

The reasons listed for eviction filings were largely related to non-payment (76% of subsidized housing and 86% of unsubsidized housing), but there were also a significant number of evictions issued for other reasons including drug and alcohol violations and housekeeping issues.

"This finding indicates that tenants in subsidized housing not only need more rental assistance but also other supportive services to help them stay stably housed," Wang said.

Once eviction filings go to court, subsidized housing tenants are further disadvantaged. Landlords of subsidized housing properties are more likely to have legal representation with 72% using a lawyer. In unsubsidized housing cases, 41% of landlords had a lawyer. But only 6% of tenants (subsidized and unsubsidized alike) have a lawyer, making eviction judgments more frequent.

"Tenants often don't know they have to be in court for their first hearing, but if they fail to be there, they automatically receive an eviction judgment," Wang said. "Having a lawyer can ensure the tenant is represented and offers any defense available to them."

The state of Oregon has invested in resources to help tenants who need legal representation, but they may not be aware of the service. Wang argues that subsidized housing providers should take a more active role in connecting their tenants with the assistance that's available to them.

"When an affordable housing organization files an eviction case against their tenant, it should connect them with legal support services so that they're informed about the eviction process and what they need to do to avoid displacement and an eviction judgment that will impact their future housing choices," Wang said.

Based on these findings, Wang recommends that affordable housing funding agencies mandate a comprehensive eviction diversion and prevention plan as prerequisites for funding allocation and that policymakers ensure adequate resources are available to fund those plans. This recommendation is in addition to shifting management practices to center resident stability and connection to services.

"Our report provides an initial overview of subsidized housing evictions in Oregon," Wang said. "We need more resources and better eviction tracking in subsidized housing to dig deeper."