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What happened in eviction court late on the afternoon of September 8 was typical – Multnomah County Circuit Court had a list of tenant-landlord cases.
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In a row, representatives of two local-based property management companies – Property Property Management and Heritage Property Management – have developed cases where tenants have illegally paid rent, and failed to pay rent, respectively.
The tenant was not present in either case. The applicants spoke calmly and laughed with the judge, presented documents and presented their arguments for deportation. Unchallenged, the cases were automatically found in favor of the landlords, and the tenants were evicted.
This is a familiar scene. Both the tenant and the landlord are absent; The fate of the tenant is decided in silent court by the judge and the property management company.
The state’s top 30 evictions — which are just a small fraction of the thousands of different plaintiffs in Oregon eviction cases — account for nearly 18% of all eviction filings in the state this year.
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A Street Roots analysis of Oregon Law Center data shows that 22 of those 30 ousted — the vast majority — are property management companies. Collectively, these companies have recorded 1,193 total evictions as of August 21 – more than 12% of all evictions in 2022.
Often overlooked, these companies are now an integral part of the eviction system, in some cases owning and managing multiple rental properties and in other cases providing landlords with legal representation and bureaucratic expertise that tenants need. The general type does not match. Amidst the housing and eviction crisis, property management companies are emerging as leading eviction intermediaries, and the largest among them are now among the most popular evictions in the state.
The year began with a surge in eviction filings. In January, property managers and landlords filed 806 eviction petitions in Oregon circuit courts — more than double the 306 filed in January 2021 when the state’s eviction ban was still in effect.
As of Aug. 21, year-to-date evictions totaled 9,255 — between Jan. 1, 2021 and Sept. 7, 2021, according to the Oregon Law Center. The number of residential evictions has doubled. last year by Oregon Public Broadcasting.
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Property management companies are a big presence in the eviction process, explains Colleen Carroll, lead organizer of Eviction Representations for All, or ERA, a coalition of tenants and community organizations that advocates for legal representation of tenants in Multnomah County. Lawyer does.
“What I can say is that property management companies make a ton; they’re like Pac-Man, so to speak,” Carroll said.
Rent laws are skewed against tenants in countless ways, Carroll said, and property management companies representing landlords in eviction court make significant profits that tip the scales in favor of landlords. does
If the tenant does not appear, the judge automatically rules in favor of the landlord, something that is won by default. This only leads to more evictions. In some cases, tenants don’t know if they can fight an eviction or if an eviction is even legal.
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“The renters — we’re on our own,” Carroll said. “If we’re in a tenant association or association, we have some people working with us. Our landlords are supported in a strong coalition with property management companies, lawyers who represent them, or they “The agents who represent them, as well as the courts and law enforcement agencies. So it’s not fair.”
Court is both time-consuming and expensive, two significant obstacles for low-income tenants—a group at a much higher risk of eviction. Many tenants cannot afford legal representation, and for some, it is a battle to even take it to court because they may not have childcare or time off from work. In these cases, they don’t make it to the court date. When this happens, the landlord wins, sometimes in clusters.
Because landlords often hire property management companies, they can file many—perhaps dozens—of eviction documents at once, and the company will keep the necessary paperwork and represent them in court.
“Landlords don’t go to court,” Carroll said. “(Property managers) go to court for them, that’s one of the big reasons there’s an imbalance. Because if the tenant doesn’t show up, (and) a family member or whatever (represents them) ), that is (not allowed). The landlord can have an agent to represent them, and so the managers have to go to court every day.
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Another consequence of property management companies, Carroll points out, is the separation between tenants and owners. In cases where there are multiple properties and tenants, the eviction decision becomes more automated – companies only look at whether or not they have been paid, potentially regardless of the circumstances or working to avoid eviction. .
“They’re more likely to have tenants pay their rent using the portal,” Carroll said. “And this portal system is computerized and automated, right? And as opposed to a manager walking in on the sixth of the month, and saying, ‘Okay, somebody put a check under my door,’ a computer program.” Only automatically sends eviction notices.
“Property management companies are a big part of the eviction story. We don’t talk about them a lot because we talk a lot about tenants and landlords, which seems like we’re two sides… In a duel. And that’s not really true, is it?” – Colleen Carroll, organizer of Evacuation Representation for All
An individual property management company typically processes all of their rentals the same, and their business models aim for efficiency, so missed payments typically trigger automatic eviction notices and eviction filings happen the same way.
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“You see these, like, automated systems where in one day, you know, we’ll see 10 or more files from one site, meaning they all filed on the same day,” Carroll said. Carol said.
The more these companies have long-standing relationships with law firms or provide their own legal services, the more likely they will prevail in court. As such, property management companies are essential to electricity inconsistencies that help landlords more than renters, Carroll said.
“Property management companies are a big part of the eviction story,” Carroll said. “We don’t talk about them a lot because we talk a lot about renters and landlords, which makes it seem like we’re two sides … in a two-sided war. And that’s not really true. , that’s right?”
Of course, some property management companies operate differently. These entities vary in size, may manage their own properties, provide third-party management, or both. Most serve small landowners – property owners with one or more properties.
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Some property management companies try to work with tenants, explains Holly Forsman, vice president of property operations for Guardian Management, LLC, a popular property management company in Oregon.
A 2022 industry study found that property managers saw their role in a new light in the wake of the pandemic. Unprecedented financial issues—and the federal funding responses to them—mean property managers have become key arbiters of information for tenants and essential partners to help avoid evictions.
“Our goal is to try to get them to pay their rent and stay; that’s not our goal
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