Nearly 1 in 5 tenants behind in rentals – PayProp Rental Index
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GUEST – Grant Smee, MD of Only Realty Property Group
Some 18.4% of residential tenants in SA are in arrears on their rent, a figure that is somewhat improved from the nearly 25% recorded at the height of the Covid pandemic.
An analysis by PayProp Rental Index for the second quarter of the year suggests the latest figure is “within the normal range seen before and after the Covid-19 pandemic, but it could be a cause for concern if it continues to rise”. Using another metric, the news is slightly better: the quantum of arrears as a percentage of rent fell 1.2% quarter on quarter to 77.1%.
Stats like these cannot be comforting for those planning on building a property investment portfolio when nearly one-in-five are behind on their monthly rentals.
Some 18.4% of residential tenants in SA are in arrears on their rent, a figure that is somewhat improved from the nearly 25% recorded at the height of the Covid pandemic.
An analysis by PayProp Rental Index for the second quarter of the year suggests the latest figure is “within the normal range seen before and after the Covid-19 pandemic, but it could be a cause for concern if it continues to rise”. Using another metric, the news is slightly better: the quantum of arrears as a percentage of rent fell 1.2% quarter on quarter to 77.1%.
Stats like these cannot be comforting for those planning on building a property investment portfolio when nearly one-in-five are behind on their monthly rentals.
