'Not paid later, forgiveness': Joe Biden calls for rent and mortgage payments to be canceled amid the pandemic

• Joe Biden is calling for federal rent and mortgage forgiveness during the pandemic.
• In an interview with Vanity Fair, the likely Democratic presidential nominee said that rent and mortgage postponements aren't enough.
• He also proposed a $15,000 tax credit for first-time homebuyers.
• Visit Business Insider's homepage for more stories.

Likely Democratic presidential nominee Joe Biden called for federal rent and mortgage forgiveness in an interview with Vanity Fair.

Biden said that postponing housing payments isn't enough. "Forgiveness. Not paid later, forgiveness," Biden said. "It's critically important to people who are in the lower-income strata."

Policies like outright rent and mortgage forgiveness could help Biden as he seeks to court progressive supporters of former candidates like Sens. Bernie Sanders and Elizabeth Warren.

The issue has largely been left up to state leaders, with governors moving to postpone rent or mortgage payments.

In March, California Gov. Gavin Newsom struck a deal with major banks to push mortgage payments back 90 days. New York Gov. Andrew Cuomo recently extended a ban on evictions until August.

But homeowners and renters who have lost their income due to the coronavirus will likely need tangible financial relief to recover from the economic fallout.

Biden said he understands why governors have been unable to provide forgiveness, rather than deferrals, due to funding shortfalls, saying that it's up to the federal government to step in.

Lower-income people, who typically spend more of their income on housing costs and are unlikely to have enough savings to make up for lost wages, are more highly impacted.

Tenants around the United States went on a rent strike earlier this month, asking for rent forgiveness and arguing that many have no choice but to not pay rent.

More broadly, Biden said that "nobody should be paying more than 30% of their income for rent."

He also said that as president he would provide a $15,000 tax credit for first-time homebuyers.

Read the rest of his interview over at Vanity Fair.

Read the original article on Business Insider