IMOVE BLOG
  • iMove Chicago
  • Real Estate School
  • Laws
    • CRLTO >
      • 5-12-010 Title, Purpose And Scope.
      • 5-12-020 Exclusions.
      • 5-12-030 Definitions.
      • 5-12-040 Tenant Responsibilities.
      • 5-12-050 Landlord’s Right Of Access.
      • 5-12-060 Remedies For Improper Denial Of Access.
      • 5-12-070 Landlord’s Responsibility To Maintain.
      • 5-12-080 Security Deposits.
      • 5-12-081 Interest Rate On Security Deposits.
      • 5-12-082 Interest Rate Notification.
      • 5-12-090 Identification Of Owner And Agents.
      • 5-12-095 Tenants’ Notification of Foreclosure Action.
      • 5-12-100 Notice Of Conditions Affecting Habitability.
      • 5-12-110 Tenant Remedies.
      • 5-12-120 Subleases.
      • 5-12-130 Landlord Remedies.
      • 5-12-140 Rental Agreement.
      • 5-12-150 Prohibition On Retaliatory Conduct By Landlord.
      • 5-12-160 Prohibition On Interruption Of Tenant Occupancy By Landlord.
      • 5-12-170 Summary Of Ordinance Attached To Rental Agreement.
      • 5-12-180 Attorney’s Fees.
      • 5-12-190 Rights And Remedies Under Other Laws.
      • 5-12-200 Severability.
    • Illinois Eviction Law (Forcible Entry And Detainer)
    • Illinois Security Deposit Return Act
  • Today's Cool Thing
  • Social Media
    • Facebook
    • Twitter
    • Pinterest
    • Instagram
    • Flipboard
    • Linkedin
    • Tumblr
    • Mix

How many renters owe their landlords back rent

1/28/2021

0 Comments

 
Picture
Newly released survey data from rental search platform ApartmentList shows a shocking 28% of renters started 2021 with unpaid rent bills from previous months. This “rent debt,” according to the survey, is especially concentrated among younger renters and people of color. While rent debt improved marginally from October of 2020, recent downturns in employment might point to a worsening situation for renters and a lack of cashflow for landlords.

While such a high percentage of people owing back rent does pose some risk to the multifamily space, Chris Salviati, housing economist at Apartment List, believes that the damage might not be as bad as it appears on the surface. He cited the dramatic lengths renters have gone to in order to stay as current as possible and noted that some of Biden’s promised stimulus package could help erase some of these debts. He explained that for mortgage professionals working in the space, this rent debt represents an opportunity to find accommodative solutions that work for landlords and tenants in the long-term.

“When we look at the amount of rent that folks owe it isn’t necessarily huge sums,” Salviati said. “The overall figure there was that 28% of respondents to our survey said that they were behind on their rent, but more than half of those said that they owe $1,000 or less, and it was only 2.4% of the of the overall sample that said that they owed $5,000 or more. And so, it does seem that most people are trying to keep up with their rent.

“It doesn’t seem to be the case that because these moratoriums are in place, folks are just kind of sitting around skipping their rent checks altogether. I think there is an awareness that that these eviction moratoriums aren’t the same thing as rent forgiveness, and that once they expire whatever rent you accumulated, is still going to be owed to your landlord, and you will still be subject to eviction at that point.”

Stimulus could be a particularly effective tool in addressing this “rent debt,” Salviati explained, as data from ApartmentList shows that in prior rounds of stimulus, people used the windfall to get or stay current on their rent. The likelihood of significant stimulus, as well as some of the dramatic steps people have already taken to stay current on rent, is part of why Salviati believes this won’t structurally damage the multifamily space.

The concentration of rent debt in communities of color and younger people, however, points to some deeper structural issues in the US economy, according to Salviati. He noted that this is one of the many economic fault lines that have been exposed and exacerbated by the pandemic, as most of the people owing rent debt work jobs that can’t be done remotely and have been much more likely to lose income due to lockdowns and suppressions in economic activity.

In Salviati’s opinion, mortgage professionals shouldn’t greet this news as a sign of structural damage done by eviction moratoriums. With the economy and rental market being what it is at the moment, Salviati noted that an eviction might not actually solve the problem. He believes that mortgage pros should look at this as an opportunity to help both tenants and landlords get back on their feet by providing financing solutions and accommodative agreements that will help every stakeholder get through this particularly rough patch for so many Americans.

“A lot of folks in our survey are telling us that they are really doing everything they can to be able to pay their rent. They’re making pretty extreme financial sacrifices,” Salviati said. “From an industry perspective it’s important to keep that in mind and to be able to work with tenants and landlords to try to come to an arrangement.”
0 Comments

Your comment will be posted after it is approved.


Leave a Reply.


    iMove Chicago

    iMove Chicago is a full service real estate brokerage.  We are comprised of a team of brokers, leasing agents, dedicated support staff and professionals focused exclusively on delivering the results you demand, deserve, and expect. We bring knowledge, dedication and customer service to all we do. We provide you the information you need with accurate, updated listings that are available if posted. You can rely on iMove's professional, experienced team to help you make informed purchase, rental or sale decisions. At iMove Chicago, we believe that results matter and knowledge delivers.  iMove's team is "bringing Chicago home..."  Together, let's get moving!


    Our Offices

    4422 N Ravenswood Avenue
    Chicago, Illinois 60640


    Ph.  773.856.6200
    Fx.   773.856.6201


    Rusty Payton, EzineArticles Basic Author

    iMove

    Categories

    All
    1601 W Chase Unit 2e
    #1 Im Chicago Real Estate
    2012 Interest Rate
    2800 Lake Shore Drive Apartment For Rent
    $31 Million Apartment
    5415 N. Sheridan Chicago
    Agents
    Agent Safety
    Andersonville
    Andersonville Apartments
    Andersonville Condo Purchase
    Andersonville Farmer's Market
    Andersonville Midsommerfest 2012. Chicago Apartments
    Andersonville Real Estate
    Andersonville Shops
    Andersonville Summer Festival
    Andersonville Wine Walk
    Ann Sather Edgewater
    Apartment Demand Slows
    Apartment Rentals In Andersonville
    Apartments For Rent
    Apartments In Andersonville
    Apartments In Edgewater
    Appeal Chicago Real Estate Taxes
    Art In Andersonville
    Asia On Argyle
    At Properties
    Avondale
    Bark In The Park
    B&B Chicago
    Bed And Breakfast Chicago
    Belly Card Chicago
    Bike Chicago 2012
    Bloomingdales
    Bongo Room
    Breakfast In Edgewater
    Bucky Gear
    Burner App
    Business Card Design
    Buy Owner Closes
    Carbon Monoxide Detectors In Chicago
    Certified Fund To Close
    Chase Bank
    Chicago
    Chicago Apartment
    Chicago Apartments
    Chicago Apartments And Satellite Dish Ordinance
    Chicago Apartments For Rent
    Chicago Apartment Vacancy Rates
    Chicago Bed Bug Ordinance
    Chicago Bed Bugs
    Chicago Building Data
    Chicago City Sticker 2012
    Chicago Farmer's Markets
    Chicago Fire At Park Tower
    Chicago Floor Plans
    Chicago Foreclosure
    Chicago Gangs
    Chicago Lakefront
    Chicago Lease Form
    Chicago Library Edgewater
    Chicago Loan Modification
    Chicago Lofts
    Chicago Neighborhoods
    Chicago Parking Meters
    Chicago Parking Spaces
    Chicago Police District Map
    Chicago Property Tax Assessment Appeal
    Chicago Property Taxes 2015
    Chicago Real Estate Agents
    Chicago Retail Stores
    Chicago Service Dogs And Renting
    Chicago Street Sweeping Schedule
    Chicago Summer Festival Guide
    Chicago Swimming Pools
    Chipotle
    Chris Feurer
    City Sticker
    Coldwell Banker
    Comunity Alert
    Condominium Assessment Post Foreclosure
    Credit Card Surchaege
    Credit Report
    Credit Reports
    Crlto
    Cta
    Dalai Lama
    Debtor's Prison
    Dogs
    Edgewater
    Edgewater Community Council
    Edgewater Gay
    Edgewater Library
    Edgewater Lofts
    Elmwood Park Single Family Home
    Eminent Domain And Mortgage Seizure
    Erickson Ocasio Imove Chicago
    Esgewater
    Fico Score
    Foreclosure
    Foreclosure Information For Renters
    Great Dane
    Halloween In Chicago
    Hamilton's Bar & Grill
    Hamp
    Haunted House
    High Rise Fires
    Homes For Under $200 Month
    Homestead Exemption
    Hot Dogs. Huey's Andersonville
    Hotel Chateau Chicago
    Hotels Skokie Evanston B&B
    Housing Recovery
    I-go Cars
    Illinois Community Association Manager Licensing
    Illinois Loan Modification
    Imove Chicago
    Imove Chicago Agents
    Interest Rate On Security Deposits
    Interviewing Agents
    Jameson
    Jameson Real Estate
    Jameson Sotheby
    Joe Berrios
    Jumbo Mortgage Rates
    Keller Williams
    La Fitness Edgewater
    Lakeview Chicago Apartments For Rent
    Landlords
    Lease Break
    Leasing Agents
    Liability Insurance
    Lincoln Park
    Lincoln Park Chicago Apartments For Rent
    Lincoln Park Single Family Home For Rent
    Loan Modification
    Loan Modification Scam
    Loft Chicago
    Loft Living
    Lofts
    Lofts For Rent
    Logan Square
    Loop And Downtown Chicago Apartments For Rent
    Loyla
    Loyola Student Housing
    Machael Sato
    Michael Sato
    Mobile Do Not Call List
    Mortgage Fraud
    Movies Inthe Park 2012
    National Bank
    News
    Old Town Chicago Lofts For Rent
    Online Marketing Chicago Real Estate
    Panera
    Parade Route
    Parking
    Parking In Andersonville
    Parks
    Phone Apps
    Planter Heads Mag Mil
    Property Of The Week
    Property Tax Bills 2012
    Property Taxes
    Property Taxes Too High
    Prudential Rubloff
    Ranjha V Bjbp
    Real Estate
    Real Estate Sales In Chicago
    Real Estate School
    Real Estate School Chicago
    Real Estate Taxes
    Realtor Prortraits
    Recycling
    Rental Market In Chicago
    Renter
    Renter's Insurance
    Renters Right To Install Satellite Dish
    Rent Increases
    Renting
    Rent Vs. Own
    River North Chicago Apartments For Rent
    River West Chicago Apartments For Rent
    Rogers Park
    Rogers Park Apartments
    Rogers Park Chicago Apartments For Rent
    Rogers Park Map
    Rogers Park Neighborhood Of The Year
    Roost Chicago
    Sales
    Sales Tips
    Section 9(g)(4) Illinois Property Condominium Act
    Security Deposits
    Selecting An Agent
    Sheridan Road Apartments
    Shoplifting
    Shopping Mag Mile Places To Stay
    Single Family Homes For Rent In Evanston
    Single Family Homes For Rent In Lakeview
    Single Family Homes For Sale In Edgewater
    Single Family Homes In Andersonville For Sale
    Sliders
    Social Media And You
    Solutions To The Parking Meter Mess
    South Loop Chicago Apartments For Rent
    Square And Imove
    Staging
    Starbucks
    Starbucks Edgewater Shipping Containers
    Strreeterville Chicago Apartments For Rent
    "three Dog Night"
    Trader Joe's Andersonville Edgewater
    Trulia
    Twitter For Business In Chicago
    Uptown
    Urban Living
    Vacancy Rates In Chicago
    Virgin Mobile Andersonville
    White Castle Food Truck
    Wicker Park
    Wilson Red Line Uptown
    Working With A Rental Agent
    Yelp
    Zebras

    Archives

    September 2022
    August 2022
    July 2022
    June 2022
    May 2022
    April 2022
    March 2022
    February 2022
    January 2022
    December 2021
    November 2021
    October 2021
    September 2021
    August 2021
    July 2021
    June 2021
    May 2021
    April 2021
    March 2021
    February 2021
    January 2021
    December 2020
    November 2020
    October 2020
    September 2020
    August 2020
    July 2020
    June 2020
    April 2015
    October 2013
    September 2013
    August 2013
    July 2013
    June 2013
    May 2013
    April 2013
    March 2013
    February 2013
    January 2013
    December 2012
    November 2012
    October 2012
    September 2012
    August 2012
    July 2012
    June 2012
    May 2012
    April 2012
    March 2012
    February 2012
    January 2012
    November 2011
    May 2011
    March 2011
    February 2011
    September 2010
    August 2010
    July 2010
    April 2010
    March 2010
    December 2009
    September 2009
    August 2009
    July 2009
    June 2009
    May 2009
    March 2009

  • iMove Chicago
  • Real Estate School
  • Laws
    • CRLTO >
      • 5-12-010 Title, Purpose And Scope.
      • 5-12-020 Exclusions.
      • 5-12-030 Definitions.
      • 5-12-040 Tenant Responsibilities.
      • 5-12-050 Landlord’s Right Of Access.
      • 5-12-060 Remedies For Improper Denial Of Access.
      • 5-12-070 Landlord’s Responsibility To Maintain.
      • 5-12-080 Security Deposits.
      • 5-12-081 Interest Rate On Security Deposits.
      • 5-12-082 Interest Rate Notification.
      • 5-12-090 Identification Of Owner And Agents.
      • 5-12-095 Tenants’ Notification of Foreclosure Action.
      • 5-12-100 Notice Of Conditions Affecting Habitability.
      • 5-12-110 Tenant Remedies.
      • 5-12-120 Subleases.
      • 5-12-130 Landlord Remedies.
      • 5-12-140 Rental Agreement.
      • 5-12-150 Prohibition On Retaliatory Conduct By Landlord.
      • 5-12-160 Prohibition On Interruption Of Tenant Occupancy By Landlord.
      • 5-12-170 Summary Of Ordinance Attached To Rental Agreement.
      • 5-12-180 Attorney’s Fees.
      • 5-12-190 Rights And Remedies Under Other Laws.
      • 5-12-200 Severability.
    • Illinois Eviction Law (Forcible Entry And Detainer)
    • Illinois Security Deposit Return Act
  • Today's Cool Thing
  • Social Media
    • Facebook
    • Twitter
    • Pinterest
    • Instagram
    • Flipboard
    • Linkedin
    • Tumblr
    • Mix