The latest rental trends show that there is a decrease in the number of tenants who pay their rent on time. This is according to the Rental Monitor report from the credit bureau Tenant Profile Network (TPN).
Michelle Dickens, Managing Director at TPN says that report has been compiled through data about how people pay their rent across the country.
This information is broken down into low-income tenants, affordable and high or premium income tenant. Dickens says the trends are consistent in all these groupings.
Overall we are seeing a decline in the tenants that are paying their rent on time and in full.— Michelle Dickens, Managing Director at TPN
According to Dickens, this rate has dropped from 72% to 65% over a two year period. Despite this, Dickens says there is an increase in the number of good standing tenants. They may not be paying on time, but they are paying their rent.
Another cause of concern for landlord is the increase in tenants who only pay part of their rent, according to Dickens.
The challenge for the landlord then is cash flow for property expenses between the payment due date and when the expenses start to come off, i.e your levies, your bond payments...— Michelle Dickens, Managing Director at TPN
According to Dickens, part of the reason why tenants are struggling to pay their rent is the increase in utility bills.
Listen to the full interview below:
This article first appeared on 702 : 'Fewer tenants are paying their rent on time'