AAM PRESIDENT ANDREW KUHN ON AIR DISCUSSING RENTAL FRAUD

The issue of rental fraud is not just a blip on the housing market radar but a significant and growing concern. As the housing market experiences its unpredictable ups and downs, the cost of housing remains unattainable for many, leading to a surge in rental applications. Unfortunately, this surge is accompanied by a rise in rental fraud attempts, compelling landlords to adopt stricter screening processes.

As a result of increased technology, potential tenants are getting creative in securing false social security numbers, references, and pay stubs, in an attempt to bypass landlords' screening processes to rent their next home and then not pay rent. Then you figure in the slow and expensive eviction process, and these criminals have now scored a home rent-free at the expense of the landlord until they can be lawfully evicted.

However, landlords are utilizing more arduous screening processes and third-party companies with the capabilities to identify fraudulent documents to combat this growing trend. Unfortunately, because they need to use more costly techniques to combat the fraudulent application documents, there can be a trickle-down of costs elsewhere. The actions of these bad actors create a precedent that affects everyone.

President Andrew Kuhn took to the airwaves to discuss this growing trend and highlighted the Apartment Association of Michigan, which works to educate members on the issues and offer solutions to help the ever-increasing problem.
Here is the link to his interview:
Landlords in Detroit reporting uptick in atte... -CBS Detroit (cbsnews.com)

THE MICHIGAN NEIGHBORHOOD PROGRAM IS OPEN FOR BUSINESS!

The Michigan State Housing Development Authority has started accepting applications for the new MI Neighborhood Program, which provides grant money for housing rehabilitation, public projects and new units. This program seeks to address Michigan’s need for more housing units as the housing crisis continues.

The program was appropriated $60 million in grant money to be used state-wide and constructed from a mixture of state and federal community development dollars.

• Each project is eligible for up to $2 million, plus 18% of admin and developer fees.
• Any grants awarded over $400,000 will require matching funds.
• The projects are intended to create housing inventory for individuals making up to 120% of the area's median income.
• The grant money applications are first come, first serve on an every 2-week schedule until July. Then, the applications will move to a monthly schedule.
• Investment strategy regional targets:

Macomb (M) - $1,624,000
Oakland (L) - $1,564,000
Wayne (N) - $1,624,000
Detroit (O) - $1,564,000
Livingston/Washtenaw/Monroe/Jackson/Lenawee/Hillsdale (K) - $8,824,000

The program is expected to be appropriated another $60 million in the next fiscal year beginning October 1. According to MSHDA Director Amy Hovey's comments to The Detroit News, the grant program will “help to encourage affordable housing development by streamlining and stabilizing available state aid.” The state is trying to work collaboratively with local municipalities and nonprofit and for-profit developers to combat the lack of affordable housing across our state. In this election year, there should be no shortage of effort.

Program parameters link:
MIN-Program-Overview.pdf (michigan.gov)

Process Summary link:
MIN-Ten-Steps---Grant-Process-Summary.pdf (michigan.gov)

Source:
The Detroit News. State launches $60M housing development, rehab grant program (detroitnews.com)

AAM MEMBERSHIP & THE IMPORTANCE OF YOUR PAC CONTRIBUTION

We need your help to maintain our strong voice for the multifamily rental property industry. It starts with membership. Membership supports our staffing and lobbying efforts, as well as communications, education, and member benefits. For just $1.80 per unit (minimum dues $250), multifamily rental property owners can support the organization that tells your story in Lansing. Associate members (suppliers or service organizations) can join for $495 annually. If you are not currently a member, we strongly urge you to join today online BY PRESSING HERE. If you have questions about member benefits, contact AAM at 248-737-4477.

Just as important as membership, the Apartment Association of Michigan Political Action Committee (AAM-PAC) needs your support. AAM-PAC accepts contributions from members and aggregates them into one fund, which then financially supports those elected officials who understand the important role of rental housing in Michigan’s economy. You must be an AAM or HBA Member to contribute to the fund, which has a fundraising goal of $150,000 for 2023-24. Remember, an AAM-PAC contribution must be made via personal, partnership, LLP, or LLC check or credit card. Members - make your PAC Contribution online BY PRESSING HERE.