Eviction Diversion Court Program

The Eviction Diversion Court Program is changing the way landlords, tenants, and courts handle housing disputes across the country. Instead of moving immediately toward a judgment that results in someone being forced out of their home, these programs create a structured opportunity for both parties to find solutions that keep tenants housed, help landlords recover what they are owed, and reduce the burden on an already overwhelmed court system.

If you are currently facing eviction, if you are a landlord trying to understand your options, or if you simply want to know how these programs work and why they matter, this blog covers everything you need to know. From how the programs are structured and who qualifies to what actually happens during the process and how tenants can make the most of the opportunity, the full picture is here.

What the Eviction Diversion Court Program Is and Why It Was Created

To understand why these programs exist, it helps to look at the housing crisis that made them necessary.

Eviction is not a rare event in the United States. Before the pandemic, roughly 3.6 million eviction cases were filed in American courts every single year. The process moved quickly, hearings were often over in minutes, and the vast majority of tenants appeared without legal representation while landlords frequently had attorneys. The outcome in most cases was predictable. Tenants lost, received an eviction record that followed them for years, and faced enormous barriers to finding new housing as a result.

The Eviction Diversion Court Program emerged from a growing recognition among judges, housing advocates, legal aid attorneys, and even many landlords that this system was producing outcomes that were bad for everyone. Landlords spent money on court fees and lost rental income during lengthy vacancy periods. Tenants became homeless or entered shelter systems that cost governments far more than the original debt that triggered the eviction. Communities faced rising housing instability that strained schools, healthcare systems, and social services.

Diversion programs were designed to interrupt that cycle before it reached its most destructive conclusion. The core idea is simple. If a landlord and tenant can reach an agreement that resolves the underlying dispute, whether it involves unpaid rent, a lease violation, or a communication breakdown, then the eviction itself becomes unnecessary. The court facilitates that agreement rather than simply adjudicating a winner and a loser.

1. How the Eviction Diversion Court Program Works

While the specific structure of diversion programs varies by city and state, most of them share a common framework that moves cases through a defined sequence of steps designed to encourage resolution before a formal eviction judgment is entered.

The Point of Entry Into the Program

Diversion can be triggered at several different points in the eviction process depending on how a particular jurisdiction has designed its program.

  • Some programs intercept cases before they are even filed in court, offering mediation as soon as a landlord serves a notice to quit or a pay or quit notice
  • Others activate at the time of filing, routing new eviction cases into the diversion track automatically or upon the request of either party
  • Still others operate at the first court appearance, giving the judge the option to refer a case to mediation or a diversion specialist before proceeding with the hearing

In many jurisdictions that have invested seriously in diversion infrastructure, the process begins with an outreach call or letter to the tenant informing them that their case has been filed and that diversion resources are available. This early contact is critically important because many tenants who receive eviction notices never appear in court at all, resulting in automatic default judgments against them.

Mediation as the Core Tool

The heart of most Eviction Diversion Court Programs is mediation. A trained mediator, who may be a court employee, a volunteer attorney, or a professional from a housing organization, works with both the landlord and the tenant to identify what the actual problem is and what both parties need to resolve it.

  • Mediation sessions are typically confidential, meaning what is said during the session cannot be used against either party in subsequent court proceedings if the mediation fails
  • The mediator does not take sides and does not make decisions but instead helps both parties communicate and explore options
  • Sessions can be conducted in person, over the phone, or via video depending on the program and the preferences of the parties

The most common outcome of successful mediation is a repayment plan that allows the tenant to pay back overdue rent over a defined period while continuing to live in the unit. Other outcomes include agreements on lease modifications, repairs the landlord agrees to make, or in some cases a negotiated move-out timeline that avoids the formal eviction record.

Legal Assistance and Resource Connection

A well-designed Eviction Diversion Court Program does not just put a mediator in a room with a landlord and a tenant and hope for the best. It also connects participants with the resources they need to make any agreement actually work.

  • Tenants are connected with emergency rental assistance programs that can provide the funds to make a repayment plan viable
  • Legal aid attorneys provide advice and representation to tenants who would otherwise be navigating the process alone
  • Case managers help tenants address underlying issues such as job loss, domestic violence, disability benefits, or other circumstances that contributed to the housing crisis
  • Housing counselors help tenants understand their rights under their lease and under local housing law

This wraparound approach is what distinguishes truly effective diversion programs from those that are diversion in name only. Without the resources to back up an agreement, many repayment plans simply fail and the eviction case resumes a few weeks later with both parties worse off than before.

2. Who Qualifies for Eviction Diversion Programs

One of the most important questions for tenants who are facing eviction is whether they are eligible to participate in a diversion program. The answer varies significantly by location, but there are general patterns in how most programs define eligibility.

Types of Cases Typically Eligible

Most diversion programs are designed primarily for nonpayment of rent cases, which represent the largest category of evictions filed in most jurisdictions. These cases are particularly well-suited to diversion because the underlying issue is usually financial and can often be resolved through a combination of rental assistance and a structured repayment plan.

  • Nonpayment of rent cases are eligible in virtually every diversion program that exists
  • Lease violation cases may be eligible depending on the nature of the violation and the program's scope
  • Cases involving hoarding, unauthorized occupants, or minor property damage are frequently addressed through diversion
  • Cases involving criminal activity, severe property destruction, or serious lease violations may be excluded from diversion and proceed directly through the standard eviction process

Income and Residency Requirements

Many programs, particularly those that are connected to rental assistance funding, have income limits for tenant eligibility. These limits ensure that the financial resources available through the program are directed toward households with the greatest need.

  • Income limits are typically set at 80 percent of the area median income though some programs set limits lower at 50 or 60 percent
  • Tenants must typically be current residents of the jurisdiction where the case is filed
  • Some programs require that the rental unit be the tenant's primary residence
  • Documentation of income, lease agreements, and the eviction notice may be required to establish eligibility

Landlord Participation

It is worth noting that diversion works best when both parties are willing to participate in good faith. Some programs make participation mandatory up to a certain point, requiring both landlords and tenants to at least attend an initial mediation session before a case can proceed to a formal hearing. Others make participation entirely voluntary.

  • In mandatory programs, landlords who refuse to participate in good faith may face consequences including delays in the court process
  • In voluntary programs, a landlord who declines mediation can proceed directly to a hearing, which may disadvantage tenants
  • Many landlords, particularly individual property owners and smaller landlords, find that diversion produces better financial outcomes than a formal eviction and are willing participants

3. The Role of Rental Assistance in Making Diversion Work

No discussion of the Eviction Diversion Court Program is complete without a serious examination of rental assistance, because in most cases it is the financial engine that makes diversion agreements actually hold together.

How Rental Assistance Connects to Diversion

During the pandemic, the federal government deployed tens of billions of dollars in Emergency Rental Assistance through state and local governments. Many diversion programs were built or significantly expanded using these funds, and the connection between rental assistance and diversion became deeply integrated in jurisdictions that managed the combination well.

  • Diversion programs that are connected to active rental assistance programs have significantly higher success rates than those that are not
  • Rental assistance can cover back rent owed, making it possible for a tenant to become current on their lease without needing a repayment plan at all in some cases
  • Assistance can also cover future rent for a period of months, giving a household financial breathing room to stabilize their situation

The Challenge of Assistance Depletion

One significant challenge that many programs are now facing is that the emergency rental assistance funds that powered the expansion of diversion during the pandemic have largely been exhausted. Programs that were highly effective when funds were abundant are now operating in a more constrained environment.

  • Some jurisdictions have secured ongoing state or local funding to replace federal pandemic assistance
  • Others have partnered with community foundations, United Way chapters, and other philanthropic sources to maintain at least some financial assistance capacity
  • Tenants in areas where assistance has dried up may find that diversion agreements are harder to reach or harder to sustain without financial support

What Tenants Should Do to Access Assistance

If you are going through a diversion process, finding out immediately what rental assistance is available in your area and beginning the application process as quickly as possible is one of the most important steps you can take.

  • Contact 211, the national social services helpline, to find rental assistance programs in your area
  • Ask the diversion program coordinator or mediator directly what assistance programs they work with or can connect you to
  • Apply to multiple programs simultaneously if possible, as some have limited funds and operate on a first-come first-served basis
  • Gather documentation in advance including proof of income, your lease, and the eviction notice to speed up the application process

4. The Legal Side of Diversion and What Happens in Court

Even though the goal of diversion is to keep cases out of the traditional adversarial courtroom process, there is still a legal framework that governs how these programs operate and what happens if a diversion agreement is reached or falls apart.

Consent Agreements and Their Legal Weight

When a landlord and tenant reach an agreement through mediation, that agreement is typically formalized as a written consent agreement or stipulation. This document is signed by both parties and often reviewed and approved by a judge, at which point it becomes a legally binding court order.

  • A consent agreement typically outlines exactly what each party has agreed to do and by what date
  • It may include a provision that if the tenant complies with the agreement, the eviction case will be dismissed
  • It may also include a provision that if the tenant fails to comply, the landlord can obtain an expedited judgment without a new hearing, sometimes called a judgment in abeyance

The judgment in abeyance provision is particularly important for tenants to understand. It means that while the case is technically on hold while the tenant is complying with the agreement, the legal machinery to complete the eviction is already in place and can be activated quickly if the tenant defaults. This creates a powerful incentive for tenants to follow through on what they have agreed to.

What Happens When Diversion Fails

Not every diversion attempt ends in a successful agreement, and not every agreement that is reached ends in full compliance. When diversion fails, the case returns to the standard eviction process and proceeds toward a hearing.

  • If mediation did not produce an agreement, the case is scheduled for a formal hearing before a judge
  • If a consent agreement was reached but the tenant did not comply, the landlord can typically activate the judgment in abeyance and proceed to a writ of possession without a full new hearing
  • Tenants who find themselves in compliance difficulty should contact the diversion program coordinator or a legal aid attorney immediately rather than waiting for the situation to escalate

The Eviction Record Question

One of the most significant benefits of successfully completing a diversion program is the potential to avoid an eviction record. An eviction judgment on your record can make it extremely difficult to find housing for years afterward, as most landlords screen for eviction history and many automatically reject applicants with any eviction filings.

  • In many diversion programs, a successful resolution results in the case being dismissed, which means no eviction judgment appears on your record
  • Some programs go further and seal or expunge the eviction filing itself, so that even the fact that a case was filed does not appear in background checks
  • The specific record-clearing protections available vary significantly by jurisdiction, so it is important to ask the diversion coordinator or a legal aid attorney what protection you can expect in your area

5. How Tenants Can Make the Most of Eviction Diversion

If you are a tenant who has been referred to or who qualifies for an Eviction Diversion Court Program, the way you engage with the process matters enormously. Here is how to approach it strategically and effectively.

Show Up and Respond Promptly

The single biggest mistake tenants make when facing eviction is failing to respond or appear. Many tenants are intimidated by the legal system, embarrassed about their financial situation, or simply overwhelmed and unable to engage. The result is a default judgment that could have been avoided.

  • Respond to every notice you receive, whether it is from the court, the diversion program, or the landlord
  • Attend every scheduled session, hearing, or meeting even if you do not feel prepared
  • Contact the diversion program coordinator as soon as possible after receiving a notice about the program to make sure you are included in the process

Be Honest About Your Situation

Mediation works best when both parties are transparent about their circumstances. As a tenant, being honest about your financial situation, what you can realistically afford to pay, and what timeline works for you will produce a better outcome than overpromising and then failing to deliver.

  • Do not agree to a repayment amount you cannot realistically meet
  • Explain any circumstances that affected your ability to pay, such as job loss, medical emergency, or a delay in receiving benefits
  • If you have applied for rental assistance, let the mediator know the status of your application and expected timeline for funds

Bring Documentation

Coming to mediation prepared with documentation makes you a more credible participant and helps the mediator understand your situation accurately.

  • Bring proof of your income, including pay stubs, benefit letters, or tax documents
  • Bring your lease agreement and any correspondence with the landlord
  • Bring documentation of any rental assistance applications you have submitted
  • Bring records of any rent payments you have made that the landlord may have failed to credit properly

Get Legal Help

Even in an informal mediation setting, having a legal aid attorney advise you before and during the process can make a significant difference in the outcome.

  • Legal aid attorneys know local landlord-tenant law and can identify defenses or issues you may not be aware of
  • They can review any proposed consent agreement before you sign to make sure the terms are fair and that you understand what you are agreeing to
  • They can advocate for record sealing or dismissal provisions that you might not know to ask for on your own

6. How Landlords Benefit From Participating in Diversion

While this blog is focused primarily on tenants, it is worth acknowledging that the Eviction Diversion Court Program is genuinely designed to work for landlords as well, and understanding that dynamic helps explain why the programs have gained as much traction as they have.

The Financial Math of Eviction

A formal eviction is expensive for landlords. Court filing fees, attorney fees, the time the unit sits vacant, the cost of cleaning and repairing the unit after a tenant leaves, and the cost of finding and screening a new tenant all add up. In many cases, the total cost of a formal eviction significantly exceeds whatever the tenant owed in back rent.

  • Studies have found that the average formal eviction costs a landlord between three thousand and ten thousand dollars when all costs are factored in
  • A diversion agreement that results in the tenant paying back rent and remaining in the unit eliminates most of these costs entirely
  • Even a negotiated move-out that avoids formal proceedings typically costs less than a full eviction

Access to Rental Assistance Funds

In many diversion programs, the rental assistance that is offered to resolve the case goes directly to the landlord to cover the unpaid rent. This means landlords can recover debts they might otherwise have had to write off, and they receive the funds without the delay and expense of formal litigation.

  • Some programs require landlord participation as a condition of accessing rental assistance funds
  • Landlords who participate in diversion and accept rental assistance agree not to proceed with eviction as long as the tenant complies with the remaining terms
  • This arrangement has made diversion programs attractive to many landlords who might otherwise have been skeptical

7. The Growth of Eviction Diversion Programs Across the Country

The Eviction Diversion Court Program model has spread significantly over the past decade and particularly since the pandemic created both an urgent need for alternatives to mass eviction and a surge in funding that allowed jurisdictions to build out their programs.

States and Cities That Have Led the Way

Several jurisdictions have developed particularly robust and well-documented diversion programs that have become models for others.

  • Philadelphia's Eviction Diversion Program was one of the earliest and most studied examples, launching before the pandemic and demonstrating strong outcomes in reducing eviction filings and judgments
  • Houston, Texas developed a diversion program that connected court-based mediation directly with rental assistance in a way that significantly increased the speed at which cases were resolved
  • New Jersey implemented a statewide eviction diversion initiative that included both pre-filing mediation and court-based intervention for cases that had already been filed
  • Virginia passed legislation requiring courts to offer diversion services in eviction cases, making it one of the first states to mandate the availability of these programs statewide

Federal Support and Policy Direction

The federal government has signaled strong support for eviction diversion as a policy approach, including through guidance issued by the Treasury Department on how Emergency Rental Assistance funds could be used to support diversion programs, and through Department of Justice initiatives encouraging courts to adopt diversion models.

  • Federal guidance explicitly encouraged states and localities to use rental assistance funds to build court-based diversion infrastructure
  • The Consumer Financial Protection Bureau has published resources on eviction diversion as part of its broader work on housing stability
  • The ongoing policy conversation at the federal level includes proposals to make funding for diversion programs a permanent part of housing assistance infrastructure rather than relying solely on emergency appropriations

8. What Happens After a Successful Diversion

Understanding what comes after a successful diversion outcome is just as important as understanding the process itself. For tenants who successfully complete the program, the path forward involves both immediate practical steps and longer-term considerations.

Rebuilding Financial Stability

The housing crisis that led to an eviction filing rarely exists in isolation. For most tenants, it is connected to broader financial instability that needs to be addressed to prevent the situation from recurring.

  • Connect with a nonprofit credit counseling agency to develop a realistic household budget
  • Explore whether you qualify for other benefit programs that could supplement your income, including SNAP, Medicaid, utility assistance, or childcare subsidies
  • If your housing instability was connected to job loss, explore workforce development and job training resources in your area
  • If domestic violence played a role in your situation, connect with a local domestic violence organization that can provide confidential support and housing resources

Understanding Your Lease Going Forward

After a diversion agreement, it is important to be clear about your obligations under both your lease and the consent agreement. Misunderstanding what you have agreed to is one of the most common reasons diversion agreements fail.

  • Read the consent agreement carefully and keep a copy in a safe place
  • Understand exactly when your payments are due and what method of payment is acceptable to the landlord
  • Know what would constitute a default under the agreement and what the consequences would be
  • If anything in the agreement is unclear, ask a legal aid attorney to explain it before you sign

Monitoring Your Rental History

Even after a successful diversion, it is worth monitoring what appears on your rental history to make sure the record-clearing provisions of the agreement are being honored.

  • Some tenant screening companies are slow to update their records even after a case is dismissed
  • You can request a copy of your rental history report from the major tenant screening bureaus to verify what they show
  • If a dismissed case is still appearing on your record, a legal aid attorney can help you dispute the inaccurate information

Final Thoughts

The Eviction Diversion Court Program represents one of the most meaningful shifts in how the American legal system approaches housing instability in generations. By creating space for resolution, providing resources to make agreements real, and reducing the lifelong consequences of an eviction record, these programs are changing outcomes for tenants, landlords, and communities in ways that matter deeply.

If you are facing eviction right now, the most important thing you can do is act. Respond to notices, show up to hearings, contact a legal aid organization, and ask specifically whether a diversion program is available in your jurisdiction. The opportunity to stay in your home, protect your rental history, and resolve a crisis without the full weight of a court judgment may be within reach, but only if you engage with the process.