In April, we sent a survey to over 50,000 active TurboTenant landlords. We have been surveying our landlord and renter base for over a year to gain insights into how the COVID-19 pandemic has impacted their rental process, and identify trends related to rent payments, mortgage payments, debt and income, communication trends, and tenant screening criteria. This is our tenth survey in our series on COVID-related landlord and tenant topics. We will continue to publish insights and data through 2021. This survey was conducted between April 26th through the 30th. Our key takeaways and insights from both landlords and tenants for our April survey are highlighted below. You can read the summary of our data from the first three months of 2021 in our Quarterly Report.
TL;DR
(You should still read it, but here are some of the most compelling highlights.)
- When it came to rent relief, 73% of landlords did not apply, 11% were not eligible for assistance, 9% applied and have not received funds, and 7% applied and received funds.
- 43% of renters had to dip into savings or borrow money to pay their rent in the last three months.
- 59% of landlords received full rent payments in April, up three percentage points from March.
- 85% of tenants are confident they can pay their full rent amount in May, and 84% of renters are confident they can pay their full rent in June.
- 54% of renters were unaware of federal or state emergency rental assistance programs enacted by stimulus bills.
- 20% of tenants reported spending more than 50% of their income on rent
Landlord and Renter Demographics
Below we have outlined high-level demographic information for landlord and renter respondents related to location, unit size, forbearance, annual household income, savings, and rent relief.
Landlords
Key Data Points:
- 57% of landlords own rental property in cities or urban areas.
- Only four percent of landlords are in forbearance with their mortgage while 20% don’t have a mortgage on their rentals, and 73% did not have to go into forbearance.
- How many units survey respondents own: 1-4 Units – 61%, 5-10 Units – 17%, 11-20 Units – 11%, 21+ Units – 11%.
- Thirty-six percent of landlords were unaware of federal or state rental relief for landlords and renters enacted through relief bills.
- When it came to rent relief, 73% of landlords did not apply, 11% were not eligible for assistance, 9% applied and have not received funds, and 7% applied and received funds.
Renters
Key Data Points:
- 62% of renters live in cities or urban areas, 25% in suburban, and 13% in rural communities.
- 49% of renters have an annual household income of less than $50,000 while only 18% reported an annual household income over $75,000.
- 43% of renters had to dip into savings or borrow money to pay their rent in the last three months.
- 17% of renters had to take on debt to cover rent and 22% had to dip into savings to pay for rent.
Landlord Data – Rent Payments
Key Takeaways:
- 59% of landlords received full rent payments in April, up three percentage points from March.
- Landlords in rural communities received the most full rent payments at 72%, and only 55% of landlords in urban areas received full rent payments. Six to eight percent in all community types reported no rent payments received for April.
- Independent landlords with 1-4 units received the most full rent payments at 66%, and the most missed payments at 10% – down three percentage points compared to March.
- Thirteen percent of landlords who did not receive full rent started eviction proceedings while 47% negotiated a permanently reduced rent.
Renter Data – Rent Payments
Key Takeaways:
- 85% of tenants are confident they can pay their full rent amount in May, and 84% of renters are confident they can pay their full rent in June – this is up from previous months.
- The majority of renters at 35% paid rent with cash, and 31% paid rent online via ACH, digital wallet, or rent payment platform.
- 15% of tenants with household incomes of less than $50,000 were unable to pay their rent along with 4% of tenants with household incomes of over $75,000.
Renter Data – Rent Relief and Income
Key Takeaways:
- 20% of tenants reported spending more than 50% of their income on rent while 43% needed between 30-50%, and 37% needed less than 30% of their income for rent.
- 54% of renters were unaware of federal or state emergency rental assistance programs enacted by stimulus bills.
- 82% of renters did not apply for rental assistance, 8% were not eligible, 7% applied and have not received funds, and only 3% applied and had received funds.
Landlords – Tenant Screening Criteria
Key Takeaways:
- 36% of landlords have made their tenant screening criteria more stringent, 8% have made it less stringent during the pandemic.
- 57% of landlords said their tenant screening process hasn’t changed during the pandemic.
- 68% of landlords require a credit score of 600 or more; 11% require a credit score of 700 or more.
- 58% of landlords, one of the highest in our reporting period, reported they had to lower their monthly rent amount in order to fill a vacancy.
We will continue to survey renters and landlords and update this data every month. If you have data requirements that are outside the scope of this article, please email [email protected]. We have ongoing data collection and are happy to supply another data set if it is available. Check out all of our COVID-19 landlord resources here.
If you are in the process of filling your properties, TurboTenant can help streamline your rental process with easy and free online rental applications as well as thorough tenant screening so you can find the best renter for your property.
