Budapest Post

Cum Deo pro Patria et Libertate
Budapest, Europe and world news

New data shows more Americans are having trouble paying their rent

New data shows more Americans are having trouble paying their rent

Of more than 13 million units in the US that the report covered, 69% of renters paid their rent between April 1 and 5, according to the National Multifamily Housing Council. During the same period in April 2019, 82% of households paid their rent on time, the report said.

With nearly 10 million Americans filing for unemployment in March, April 1 was always going to be a difficult day for US renters.

Now we have an idea of just how difficult: Nearly a third of 13.4 million US renters, 31%, didn't pay their rent between April 1 and April 5. That's according to data from the National Multifamily Housing Council, a trade association for the apartment industry.

Of more than 13 million units in the US that the report covered, 69% of renters paid their rent between April 1 and 5. During the same period in April 2019, 82% of households paid their rent on time, the report said. And just last month, 81% of renters paid rent by March 5.

It's additional evidence of how the coronavirus pandemic is affecting the US job market, and as a result, Americans' financial health.

Putting the numbers into perspective

While the data is concerning, it should be put into context, said Priscilla Almodovar, CEO of Enterprise Community Partners, a national non-profit developing affordable housing.

There are 44 million renter households in the country, and the NMHC report only reflects data from 13.4 million rental units and does not include subsidized housing, a lifeline for many low-income people.

Almodovar said there were likely logistical challenges to people paying the rent on time in April. Many offices were closed and standard operating procedures for much of daily life was disrupted. The 5th of the month, often when a late fee is incurred and when the NMHC survey period ended, also fell on a Sunday.

We won't really have an accurate picture of what the impact of millions of people filing for unemployment will be until May, she said.
"People were working in March. April rent may have come from their savings," Almodovar said. "The rent check is probably the first thing they pay. Now they may be unemployed, and we don't know what resources will get to them in time for May."

Her organization is calling for direct rental assistance, in which struggling tenant's rents are paid to landlords by the government.

"It allows money to move up the ladder," said Flora Arabo, national senior director of state and local policy at Enterprise Community Partners. "In April, there is still time to get money flowing. What happens when eviction moratoriums are lifted? Now there is a critical window to get emergency assistance to those who need it."

The federal government's $2 trillion stimulus bill will pad some Americans' falls: Renters in federally subsidized affordable housing can receive aid, including a 120-day moratorium on evictions and late fees.

Evictions halted in some cities

But most rental properties are owned by private landlords and therefore aren't eligible, though some multifamily landlords with federally backed mortgages may receive a forbearance on their payments if they don't evict their tenants.

Ahead of the steep uptick in unemployment claims, at least half of states and dozens of cities temporarily halted evictions in March, but rent was still due. And while missing a payment may not immediately result in eviction, continuing to skip them would.

There are other avenues for aid, though. Solomon Greene, a senior fellow in housing policy at the Urban Institute, suggested that tenants alert their landlords to their inability to pay and seek out aid from non-profits, or use their stimulus check included in the $2 trillion bill to cover some of their expenses.

And in other cases, strangers are footing bills. A CNN viewer surprised a guest on Erin Burnett OutFront by paying her rent. The guest, like millions of other service industry workers, had lost her job.

Some landlords are offering discounts and payment plans to help renters.
Clay Grubb, CEO of Grubb Properties, a multifamily housing developer based in Charlotte, North Carolina, offered a 10% discount to renters who paid by April 1. Nearly 70% of his renters took advantage of the discount, saving them nearly $400,000 in rent altogether.

"We decided to provide a new program for the remaining 30% of the residents," said Grubb.

If they paid their April rent in a timely manner -- which could mean through a payment program -- they would get a 10% credit toward their May rent. As of April 8, Grubb collected April rents from 94% of his residents.

He also relaxed the requirements for tenants who want to terminate a lease - dropping a 30-day notification and two-month rent requirement to 15 days and one month's rent. So far, 22 tenants, less than 1%, took advantage of that.

As Grubb highlighted, there's an "importance of compassion when it comes to the relationship that landlords have with their residents and ways landlords can help in this crisis."

AI Disclaimer: An advanced artificial intelligence (AI) system generated the content of this page on its own. This innovative technology conducts extensive research from a variety of reliable sources, performs rigorous fact-checking and verification, cleans up and balances biased or manipulated content, and presents a minimal factual summary that is just enough yet essential for you to function as an informed and educated citizen. Please keep in mind, however, that this system is an evolving technology, and as a result, the article may contain accidental inaccuracies or errors. We urge you to help us improve our site by reporting any inaccuracies you find using the "Contact Us" link at the bottom of this page. Your helpful feedback helps us improve our system and deliver more precise content. When you find an article of interest here, please look for the full and extensive coverage of this topic in traditional news sources, as they are written by professional journalists that we try to support, not replace. We appreciate your understanding and assistance.
Newsletter

Related Articles

0:00
0:00
Close
Polish MEP: “Dear Leftists - China is laughing at you, Russia is laughing, India is laughing”
Western Europe Records Hottest June on Record
BRICS Expands Membership with Indonesia and Ten New Partner Countries
Elon Musk Founds a Party Following a Poll on X: "You Wanted It – You Got It!"
China’s Central Bank Consults European Peers on Low-Rate Strategies
France Requests Airlines to Cut Flights at Paris Airports Amid Planned Air Traffic Controller Strike
Poland Implements Border Checks Amid Growing Migration Tensions
Emirates Airline Expands Market Share with New $20 Million Campaign
Amazon Reaches Milestone with Deployment of One Millionth Robot
Yulia Putintseva Calls for Spectator Ejection at Wimbledon Over Safety Concerns
House Oversight Committee Subpoenas Former Jill Biden Aide Amid Investigation into Alleged Concealment of President Biden's Cognitive Health
Amazon Reaches Major Automation Milestone with Over One Million Robots
Extreme Heat Wave Sweeps Across Europe, Hitting Record Temperatures
Meta Announces Formation of Ambitious AI Unit, Meta Superintelligence Labs
Robots Compete in Football Tournament in China Amid Injuries
China Unveils Miniature Insect-Like Surveillance Drone
Marc Marquez Claims Victory at Dutch Grand Prix Amidst Family Misfortune
Germany Votes to Suspend Family Reunification for Asylum Seekers
Budapest Pride Parade Draws 200,000 Participants Amid Government Ban
Southern Europe Experiences Extreme Heat
Xiaomi's YU7 SUV Launch Garners Record Pre-Orders Amid Market Challenges
Jeff Bezos and Lauren Sanchez's Lavish Wedding in Venice
Russia Launches Largest Air Assault on Ukraine Since Invasion
Massive Anti-Government Protests Erupt in Belgrade
Iran Executes Alleged Israeli Spies and Arrests Hundreds Amid Post-War Crackdown
Hungary's Prime Minister Criticizes NATO's Role in Ukraine
EU TO HUNGARY: LET THEM PRIDE OR PREP FOR SHADE. ORBÁN TO EU: STAY IN YOUR LANE AND FIX YOUR OWN MESS.
Hungarian Scientist to Conduct 30 Research Experiments on the International Space Station
NATO Members Agree to 5% Defense Spending Target by 2035
NATO Leaders Endorse Plan for Increased Defence Spending
U.S. Crude Oil Prices Drop Below $65 Amid Market Volatility
International Astronaut Team Launched to Space Station
Macron and Merz: Europe must arm itself in an unstable world
Germany and Italy Under Pressure to Repatriate $245bn of Gold from US Vaults
Iran Intensifies Crackdown on Alleged Mossad Operatives After Sabotage Claims
Trump Praises Iran’s ‘Very Weak’ Response After U.S. Strikes and Presses Israel to Pursue Peace
Oil Prices Set to Surge After US Strikes Iran
BA and Singapore Airlines Cancel Dubai Flights Amid Middle East Tensions
Trump Faces Backlash from MAGA Base Over Iran Strikes
Meta Bets $14 B on Alexandr Wang to Drive AI Ambitions
FedEx Founder Fred Smith, ‘Heart and Soul’ of the Company, Dies at 80
Chinese Factories Shift Away from U.S. Amid Trump‑Era Tariffs
Pimco Seizes Opportunity in Japan’s Dislocated Bond Market
Labubu Doll Drives Pop Mart to Status as China’s Most Valuable Toy Maker
Global Coal Demand Defies Paris Accord Goals
United States Conducts Precision Strikes on Iran’s Nuclear Sites
US strikes Iran nuclear sites, Trump says
Telegram Founder: I Will Leave My Fortune to Over 100 of My Children
16 Billion Login Credentials Leaked in Unprecedented Cybersecurity Breach
Senate hearing on who was 'really running' Biden White House kicks off
×