Only $0.09 for every $1 of rent is returned to the property owner

[Jerid Meagan]

With all the discussion about rent collections during the COVID-19 pandemic and shutdown, it's important to understand how one dollar of rent is allocated by the property owner. According to the National Apartment Association, only $0.09 on every dollar of rent is returned to the property owner after mortgage ($0.39), operating/managing the property ($0.27), taxes ($0.14) and capital expenses ($0.10) are taken into account.

https://www.naahq.org/sites/default/files/naa-documents/dollarofrent.pdf


When it comes to expenses, location can really have an impact on certain expenses. For example, taxes ($0.14) or 14% is low for my region in upstate NY. Prior to COVID, how do these numbers compare to yours?  Where do you see the biggest impact being post COVID?

[Bob B.]

In a recent survey it was determined that 42% of Statisticians agree that statistically, 65% of statistics are made up.