Why Multifamily Rents are Holding Up Better than Expected

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A feared collapse in apartment rent collections amid the COVID-19 shutdowns has failed to materialize. But can that streak last?

National Real Estate Investor (May 20, 2020) -- Despite mass unemployment and underemployment, multifamily rental payments have held up far better than many industry experts expected amid the economic wreckage caused by the spread of the novel coronavirus.

More than 36 million people have filed for unemployment in recent weeks and millions of others working fewer hours and taking reduced pay. That’s amid new estimates that real GDP growth for the second quarter will come in at -42.8 percent. Toss in a backdrop in which, as of December, 69 percent of Americans had less than $1,000 in savings accounts, and it would seem to paint a bleak picture on the ability of renters to meet their obligations.

Read more at: National Real Estate Investor