CDC issues new eviction ban effective through Oct. 3

The Biden administration is expected to announce a new federal eviction moratorium on Tuesday, according to a source familiar with the matter.

The eviction ban will be targeted at areas of the country experiencing high levels of coronavirus infections.

The protection will last for 60 days until Oct. 3, and could cover around 90% of renters.

The Centers for Disease Control and Prevention’s original eviction ban, which had been in effect since September 2020, expired on July 31.

More from Personal Finance:
What it would take to make the child tax credit expansion permanent
As women opt out of workforce, what that means for Social Security benefits
Where to put your emergency savings amid rising inflation

Yet more than 11 million Americans remain behind on their rent, and the coronavirus pandemic continues to spread. Research has found evictions lead to a spike in virus cases and deaths.

The White House previously had said it couldn’t extend the eviction ban again after the Supreme Court ruled in June that the policy could only be renewed through legislation.

It’s unclear how the court will respond to this new moratorium, but it could at least buy states and cities more time to distribute the $45 billion in rental assistance allocated by Congress. Just around $3 billion of that money had reached households by the end of June.

“This is a tremendous relief for millions of people who were on the cusp of losing their homes and, with them, their ability to stay safe during the pandemic,” said Diane Yentel, president and CEO of the National Low Income Housing Coalition, in a statement.

“President Biden’s bold action and leadership in this moment of crisis will save lives and immeasurable suffering.”

— Additional reporting by Ylan Mui, CNBC senior congressional correspondent.

This is breaking news. Please check back for updates.