NARPM- Single-Family PMs report Business unchanged or better

[Mike Mocek]

As a member of the National Association of Residential Property Managers (NARPM), I am given the opportunity to partake in random surveys.  The most recent one was about the business and how we have changed over the past year.  I found this interesting, and what I found even better was, the results of the survey (As shared below).  I guess I would like to extend the same correspondences with BiggerPocket Colleagues and see .. Are you having a better year? What are some of the challenges you are facing?  Here in Toledo, the only struggle that I see would be how difficult the eviction process has become, on both sides.  The paperwork required for tenants, the headaches and waiting periods that owners are seeing etc.

During the past seven months of the pandemic, the majority of single-family property tenants managed to remain current with their rent payments, according to a nationwide survey released today by the National Association of Residential Property Managers (NARPM®). The survey was conducted in October among NARPM’s 6,000 members with 211 responses.

Just over 75 percent of property managers who responded reported that 91 to 100 percent of their tenants had paid their October rent in full and on time, and another 18 percent said that 81 to 90 percent of tenants had paid in full and on time. This is down slightly from the 77 percent who reported on the same question in the September survey.

“When we asked our members why they thought rent payments dropped in October, many cited Covid, delays in unemployment checks, or that tenants – or sources of support - had run out of money,” commented NARPM® President Kellie Tollifson, MPM® RMP® of Bothell, WA. “There is still a very small percentage of single family tenants who requested a payment plan or who had not made any rent payments.”

Exactly half of the members surveyed reported that new management contracts had increased in October, and half said the volume had decreased. Nearly 44 percent, however, said that business had increased since the same time last year, with 33 percent indicating no change over the past year. Just under 23 percent said they had lost business since October 2019.

“Fortunately, less than four percent of members reported that natural disasters, such as fire, earthquakes and hurricanes, had negatively affected their rent payments in October,” added Tollifson. Two respondents commented that they thought the pandemic would impact their business for another two months, and a few others predicted up to another six months.

[Max T.]

@Mike Mocek

I imagine it varies by asset class. I’ve had no issues with rents and zero vacancy since Covid so yes I’m up more than usual.

But another investor in a different asset class may have an entirely different experience. And yes 1 bad tenant experience could flip me to the other side quick.