As unemployment continues to skyrocket in the U.S. Amid the COVID-19 coronavirus pandemic, a growing number of Americans are not paying their rent.
Only 69% of households made their rent payment in April, according to the National Multifamily Housing Council. Compare that to 81% in March and 82% in April 2019.
“The COVID-19 outbreak has resulted in significant health and financial challenges for apartment residents and multifamily owners, operators and employees in communities across the country,” said Doug Bibby, president of NMHC, in a statement.
The NMHC tracks data from 13.4 million apartment units throughout the country. The data in this report looks at people who paid rent between April 1 and April 5.
Rental homes were not included in the report. Evictions have largely been halted during the crisis, but renters have fewer protections and tools at their disposal. The eviction stays will eventually expire or be lifted and it could set up a crisis as landlords and property managers demand overdue rent.
People who live in federally subsidized affordable housing have a bit of an advantage as the government’s $2 trillion stimulus bill does provide some aid for those renters. It also has a 120-day ban on evictions and late fees. The number of people in privately held rental properties make up the vast majority of renters, however.
More must-read personal finance coverage from Coins2Day:
—What to do if you can’t pay your bills this month
—Everything you need to know about the coronavirus stimulus checks
—5 things to know about unemployment benefits in the COVID-19 stimulus package
—Everything you need to know about furloughs—and what they mean for workers
—Everything you need to know about the new 401(k) no-penalty withdrawals
—Listen to Leadership Next, a Coins2Day podcast examining the evolving role of CEO
—VIDEO: 401(k) withdrawal penalties waived for anyone hurt by COVID-19
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