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Independent Landlord Rental Performance Report: September 2023

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Key Takeaways

  • The on-time payment rate in independently operated rentals fell slightly in September 2023, declining to 82.6%

  • Compared to a year earlier, the on-time payment rate is up by 241 bps.

  • The September 2023 forecast full payment rate is 92.7% — the second-highest post-pandemic observation.

  • Western states continue to hold the highest on-time payment rates in the country, led by Colorado (92.6%), Utah (91.5%), Arizona (88.3%), North Dakota (88.1%), Washington (87.7%), and California (87.1%).

  • Small multifamily (5-49 units) rental properties held the highest on-time payment rates of all sub-property types in September, coming in at 83.2%.


National Overview

On-time rental payments in units operated by independent landlords remained robust in September 2023 despite sliding slightly from August. As of this month’s preliminary estimate, 82.6% of tenants in independently operating rental units have completed their monthly payments on time. The on-time payment rate is down by 78 bps from the month prior. Still, September’s national on-time payment rate is above its 12-month average (82.4%) and currently stands 241 bps higher than this time last year — reflecting the sector’s arch of continued improvement.

September’s forecast full-payment rate, which takes on-time payments, late payments, and expected late payments based on historical trends, came in at 92.7% — decreasing by a marginal 19 bps month-over-month. Encouragingly, September’s forecast full-payment is the second-highest post-pandemic observation, bested only by the month prior’s 92.9%.

Overall, these data underscore how the rental housing sector has managed to limit distress in a challenging interest rate environment. According to Trepp, the multifamily delinquency rate in CMBS transactions averaged just 1.8% through August. At the same time, cap rates are rising in both the small multifamily and single-family rental sectors. With tenants remaining current on their rent payment obligations, property owners are, in turn, doing so with their mortgages. As a result, operators with leased-up assets have maintained the ability to exercise patience and allow for an improvement in market pricing.

Data Findings: By Property Type

Data Findings: By State

About This Report

The Independent Landlord Rental Performance report is a real-time look at how well non-institutional operators are collecting owed monthly rental payments. Utilizing data provided by property management software RentRedi, these findings have a reduced sample size of 69,241 units, which are analyzed and reported by Chandan Economics. Where sample size quality meets sufficient reporting standards, data are offered from March 2020 forward, and new trends and analyses are reported monthly. Performance trends are discussed nationally, as well as along the lines of residential property type and geography.

Data contained within this report offer investors, brokers, academic researchers, and policymakers a benchmark to track the performance and health of independent landlords.

About: Chandan Economics

Chandan Economics is an economic advisory and data science firm serving the commercial real estate industry. The firm's primary businesses include real estate data science (REDS), economic & market research, and litigation consulting.

About: RentRedi

RentRedi is a property management software that saves landlords time & money by empowering them with tech to manage their rentals—all from the palm of their hand.

For landlords, RentRedi provides all-in-one web and mobile apps to collect rent, list & market vacancies, find & screen tenants, sign leases, and manage maintenance & accounting. RentRedi has partnered with platforms including Plaid, REI Hub, Latchel, TransUnion, TSYS, Sure Insurance,, and Doorsteps to create the best experience possible.

For tenants, RentRedi’s easy-to-use mobile app allows them to pay rent, set up auto-pay, report rent payments to credit bureaus, prequalify & sign leases, and submit maintenance requests.


Data are reported on a forward basis from March 2020 through September 2023 (current reporting period). As of the latest month of data availability, the reduced unit sample size totals 69,241. Rent charges are measured on a 15th-to-15th-of-the-month basis. Rent charges that are issued after the 15th of the current month are treated as a rent charge for the following rent-tracking period. (E.g., a rent charge sent on August 16th would be treated as a charge corresponding to September's owed rental payment.)

Only charges designated as "rental income" are included for analysis. Rent charges below $500 and above $10,000 are excluded from this analysis.

Units that have not paid any form of rental income (full or partial) in the previous 60 days at the time a new rental charge is issued are removed from the sample tracking sample. Unpaid units refer to all units that have yet to fully satisfy their owed rents for a collection period. These unpaid units include units that have only partially paid their rent. As a means of reporting standardization, units with more than one monthly rent charge (E.g., rent paid weekly) are removed from the rent tracking sample.

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