Evictions in Maryland are nearing pre-pandemic highs, with more than 18,000 households evicted in the first ten months of 2023, compared to just over 19,000 in the first ten months of 2019. Evictions have devastating consequences for both the individuals and families subjected to eviction and for the communities diminished by the loss of residents. Evictions disrupt and upend people’s lives, and can lead to job loss, interruptions in children’s schooling, extreme stress, deteriorating health and mental health, and homelessness. Eviction as a strategy for dealing with past-due rent is a costly one – for the family, for the landlord, and for the state of Maryland. Eviction prevention programs, which cover up to three months of past-due rent, are a cost-effective way to stabilize families, pay landlords, and reduce costs to the state.
To better understand the need for eviction prevention funding across the state, the Maryland Eviction Prevention Funds Alliance (MEPFA) worked with Stout Risius Ross, a consulting firm that specializes in economic analyses of complex social issues and is a leader in the field of eviction prevention research nationally. The resulting report, “Assessment for Maryland’s Need for Eviction Prevention Funds (EPF) and the Estimated Fiscal Impact of EPF,” examines two different scenarios that would prevent disruptive displacements. Funding for the report came from the Abell Foundation, the Annie E. Casey Foundation, and the United Way of Central Maryland.
The study found that an investment of between $28 million and $52 million in eviction prevention funds would help between 12,000 and 18,000 households avoid eviction. Not only would individuals and families benefit, but research suggests that communities benefit from eviction prevention efforts over time as well. Additionally, for every dollar Maryland spends on eviction prevention funds, the state could realize between $2.14 and $2.64 in cost savings or fiscal benefits.
These fiscal benefits come from a variety of places, such as:
In addition to the fiscal analysis, researchers also reviewed best practices across the country and engaged Maryland stakeholders on lessons learned. The report offers several recommendations for the state to consider in implementing an eviction prevention program, including:
Based on the report and recommendations, MEPFA is advocating for an initial investment by the State of Maryland of $15 million in FY25, to prevent the evictions of over 5,600 families at highest risk of displacement.