President Donald Trump has blocked all evictions through the end of the year. Trump’s executive order gives the Centers for Disease Control (CDC) leeway to stop evictions by labeling evictions a health risk.
The order helps people who fell behind on their rent because their income was impacted by the coronavirus.
Any landlord who violates the order will face stiff fines at a minimum of $100,000.
Under the executive order, the CDC can use its power as the country's health authority to block all evictions from taking place because of the risk of newly homeless people spreading the virus.
"I want to make it unmistakably clear that I'm protecting people from evictions," Trump said in a statement on Tuesday.
Trump took action after House Democrats and the White House failed to deliver a new stimulus package.
The order left landlords and home builders angry and threatening to file federal lawsuits as soon as the moratorium takes effect.
Many landlords have already begun filing evictions around the country.
White House deputy press secretary Brian Morgenstern told reporters on Tuesday that the president's executive order signed Tuesday will help millions of Americans stay in their homes.
"Today's announcement means that people struggling to pay rent due to the coronavirus will not have to worry about being evicted and risk further spreading, spreading of, or exposure to the disease due to economic hardship," he said. "The administration has also made funds available to alleviate any economic impact to tenants, landlords, and property owners."