GRANTS PASS, Oregon (MO.Properties) – Rentec Direct, the highest-rated property management software solution, published a new report exploring the impact of the COVID-19 pandemic on rental payment behavior. Aggregated anonymous data was used to analyze rental payment trends in the U.S. The December report shows the latest round of data in a study Rentec Direct has conducted monthly since April of this year.
“2020 has been a year unlike any other, and the rental industry has not been immune to the challenges and difficulties presented by the global pandemic,” says Nathan Miller, President of Rentec Direct. “Rentec Direct has been collecting monthly data in an effort to analyze the larger impact of the pandemic on the rental industry. We look forward to continuing to analyze the data and comment on trends that have emerged to help landlords and property managers make informed decisions as we head into 2021.”
The latest report revealed three key trends in rental payment behavior during the month of December:
Landlords and property managers are still receiving fewer rent payments: As of December 10, the number of rent payments received nationwide by landlords and property managers is 24% lower than the number of rent payments received during the same period in March, prior to the onset of the COVID-19 pandemic in the U.S. This number has increased slightly compared to November, which saw a 27% decrease.
Online rent payment options dramatically increase the likelihood of tenants paying rent on time: Of tenants who pay rent electronically, the number of rent payments nationwide are 8.1% higher than online payments received for the same period in March. When compared to the 24% decrease in total number of rent payments received, it is clear that tenants with online rent payment options are much more likely to pay rent.
Landlords and property managers remain interested in online rent collection: On average, approximately 124 property managers using the Rentec Direct software platform submit applications for online rent collection capabilities each month. In November, this number increased by 4.1%.
To create the report, Rentec Direct pulled aggregated anonymous data from its property management software platform, representing 620,000 rental properties nationwide. Because most tenants pay rent during the first week of the month, data from the first week of December was compared to the same period for the past eight months. Because many stay-at-home orders were initiated in mid to late March, the impact of COVID-19 on certain renter behaviors could be determined during this time frame. Rentec Direct also looks at data from January and February of 2020 as a baseline for rental payment behavior prior to the COVID-19 pandemic.
To view the report in its entirety, visit: https://www.rentecdirect.com/blog/wp-content/uploads/2020/12/December-2020-Rent-Payment-Trends-Rentec-Direct.pdf.
About Rentec Direct
Rentec Direct offers industry-leading property management software and tenant screening solutions for real estate professionals. Features include online rent payments, tenant and owner portals, the industry’s largest vacancy listing syndication network, full property, tenant, and owner accounting, 1099-MISC reporting and more. Rentec Direct was named a silver Most Customer Friendly Company of the Year winner in the 2020 Best in Biz Awards, received the silver Real Estate Company of the Year Award in the 2020 American Business Awards, has been named to the Inc. 5000 List of Fastest-Growing Private Companies for four years in a row (as of 2020), and was also included on the 2017, 2018 and 2019 Entrepreneur360 list for Best Entrepreneurial Companies in America. http://www.rentecdirect.com