COVID-19 Survey Results: April 29, 2020

About the Survey

  • NAA and IREM sponsored a joint survey of our memberships and partnered with CEL & Associates to conduct the survey. The results will be used in advocacy efforts to inform and educate policymakers on the impacts of COVID-19 to the vital rental housing industry.
  • The survey was open from April 13 –April 17 and received 191 responses.
  • Recurring monthly survey. 

Respondent Profile

Properties 

  • Respondents’ rental housing portfolio
    • 5 or more units: 927,665 units
    • 2-4 units: 2,479 units
    • Single-family units: 4,045 units

Total Properties by Sector, showing 99 conventional properties, 75 mixed properties, 12 affordable only properties, 3 student only properties, 1 senior only property, and 1 military only property.

Regions

Total Responses by Region, showing the top three regions being the Midwest, the South, and the South Central regions

Renter Assistance

  • Owners helped residents in over 155,000 apartments, about 11 percent of their portfolios, in March and into April.
 Three bubbles separated by plus signs, the bubbles reading "Payment Plans," "Late fee waivers," and "Other Assistance." An arrow from these bubbles points to a larger bubble reading, "155,042 apartments."

Mortgage Status 

Bar graph showing, "Is there outstanding mortgage debt on your rental properties?" The majority of just over 50% voted "yes on all." About 35% said "yes on some," and about 15% said "no."
  • 84.3% of respondents have outstanding mortgage debt on some or all rental properties.

Mortgage Cost Burden

50% of respondents indicated their average monthly mortgage payment amounted to 25-50% of rent collected.

A bar chart showing responses to the prompt, "For 2019, estimate the average monthly mortgage payments as a percent of average monthly rent collected." 50% of respondents said 25-50%, while just over 30% of respondents said up to 25%.

Mortgage Forbearance

A pie chart showing responses to the prompt, "Has your company contacted your mortgage holder(s) about mortgage forbearance?" 71% of respondents said no, while 29% said yes.

As of mid-April, only 29% had contacted their lenders about forbearance. 
Nearly 49% of those requesting forbearance did not receive it. A bar graph showing responses to the prompt, "Was Forbearance Received?" The majority, at nearly 50%, said no. Nearly 45% said "yes, partial," and about 5% said "no."

Owners are Generally Optimistic 

A bar chart reading, "In terms of average operating metrics leading up to the crisis, how long do you think it will take to get your business back to those levels after the pandemic subsides?" The majority of respondents, at around 43%, said 6-11 months. Around 37% said less than 6 months. About 16% said 1-2 years. Under 5% said over 2 years.

Strong Expectations for the CARES Act

A bar chart with responses to the question, "How much do you think the CARES Act (Federal Fiscal Stimulus Package Phase 3) will help you with being able to keep your business viable over the next 12-18 months?" Nearly 45% of respondents said "somewhat helpful" while over 20% said "very helpful," a little over 15% said "not at all helpful," and just under 20% said "don't know/not sure"

What would you like to see included to help rental housing providers in the next round of COVID-19 relief legislation?

"Flexibility from CMBS lenders, longer deferral or repayment on FNMA loans, lifting of eviction moratoria, except in case of proven hardship, not a blanket moratorium."

"Direct help for landlords in the form of rent subsidies to help residents that will be unable to catch up in rent payments for quite some time. Also, a less restrictive forbearance program through Fannie and Freddie."

"Allow property management companies to be eligible for the SBA Paycheck Protection Program."

"Very clear guidelines on who is entitled to rent deferment plans. State guidelines are not consistent with federal guidelines."

"Assistance for the owners and a PR campaign to educate renters on their obligations. Many are under the impression that they don't need to pay. Also a plan for post-COVID-19 for the courts. How are they going to handle the evictions before and after COVID-19. Depending on how long this goes on, pre-COVID-19 evicted residents will be living for free for over 6 months assuming courts open in July."

How you are working with financially burdened residents on their rent obligations and what innovative/out-of-the-box tools or best practices have you implemented in response to the COVID-19 crisis?

"We have a payment plan agreement with proof of unemployment insurance filing and proof of loss of unemployment. We also are providing residents with sources of help both national and state/local. We are not giving any rent discounts but will give a small discount if they pay 2 months upfront with the stimulus check or tax refunds."

"Waived late fees, reasonable payment plans for up to 6 months, no early termination fees with lease term ending in less than 61 days. Company paid added trash services while residents are mostly home. No applications fees and larger concessions, lower rental rates for new residents."

"Waiver of late fees, implementation of paymentplans, discounts on rent to offset closed amenities, alternative resident experiences like concerts in common areas, virtual classes like yoga and other physical fitness, virtual leasing, paperless renewal documents, etc."

"We set up a special portal on a property website so residents could anonymously donate food, money or PPE specifically to assist other residents of the property. The first day it was up we had a resident donate masks which were distributed shortly thereafter. The response has really been amazing. Neighbors wanting to help neighbors - they just needed the mechanism in place."

"Deferred rent, affidavit of job loss where employee letter hasn’t been obtained, computer assistance with residents filing unemployment, gifting of paper products and cleaning supplies, and wellness checks."