For the fourth month in a row, approximately 33% of Americans failed to make a full, on-time rent or mortgage payment at the start of August, according to the results of ApartmentList’s monthly housing payment survey. Eleven percent of respondents had made a partial payment of their rent or mortgage bill for August, while 22% had yet to make any payment at all.
ApartmentList notes that the majority of residents who miss their payments in the first week of the month are able to make them up with late payments. However, by the first week of August, 10% of respondents had not made a full housing payment for July.
At the same time as federal unemployment benefits and federal, state, and local eviction bans are in the process of expiring across the nation, 32% of renters and homeowners have entered August with unpaid housing bills from previous months.
Out of all renters, 15% have accumulated a debt of less than $1,000. Eleven percent owe between $1,000 and $2,000, and 5% owe more than $2,000. Among homeowners, 8% have missed payments totaling less than $1,000, while 11% owe between $1,000 and $2,000, and 13% owe more than $2,000. ApartmentList notes that some homeowners can defer their payments through forbearance or loan adjustments, while renters often do not have similar options.
Among residents with unpaid housing bills, 66% of renters and 65% of homeowners are worried about facing eviction or foreclosure in the next six months. Almost half of renters with unpaid bills—49%—have either negotiated or are negotiating a payment plan with their landlord.
Based on these survey results, ApartmentList suggests that a stimulus check of $2,000 could wipe out rent debt for 83% of renters who are behind on their rent. A $1,200 payment, similar to the one already issued, would eliminate about half of the nation’s rent debt. However, the underlying causes of unpaid rent would persist, and debt would continue to accumulate even if a stimulus payment solves a short-term issue.
