• Direct Coronavirus, latest news
  • Covid-19.Thousands of tenants face another rental income without the aid announced by the Government a month ago

Uncertainty and economic and labor instability have caused many tenants to have significant difficulties in coping with the rent payment during the confinement due to coronavirus. In the 98 days in which the state of alarm was in force, the non-payment incidents reported by the owners -particular and professionals- shot up 380% compared to the same period of the previous year, according to the balance published this Thursday by the Delinquent Tenants File .

As of the third week of March, coinciding with the limitation of citizen mobility, the incidents reported by landlords doubled, compared to the previous week. "With the state of alarm, and the obligation of citizens to confine themselves, the uncertainty in the labor and personal sphere increased , causing defaults and delays in payments, " they explain from the company.

Despite the increase from the first moment, the true incidence of Covid-19 on rents did not reach its full dimension until April. In the first three weeks of the month, nearly 43% of the contracts monitored through the Non-Paying Tenant File reported a payment incident. "That a landlord communicates that he has not received the collection of his rent, does not have to suppose that it is a non-payment. In many cases it may be due to a delay in the payment of rent caused by the economic and labor difficulties they are going through many tenants ", details Sergio Cardona , Director of Studies and File Quality of Non-Paying Tenants.

Non-collection notifications that reached their annual maximum in the second week of May, when 17% of landlords reported that they had not collected their rent. "These data show that, although the government approved loans, many owners are seeing how their tenants either do not have the ability to pay or do not meet their obligations without having given a reason," Cardona argues.

Faced with the complaints of the owners and the growing concern of the tenants, the Executive ended up approving an aid package that included, among other things, a line of aid of a maximum of 900 euros per month for six months and 100% of the rent , in case of not exceeding said limit. It also established the automatic extension of the lease contracts about to end, the moratorium or reduction of rents and the cessation of evictions during the period of confinement.

However, the Government's first recommendation to both landlords and tenants is that both try to reach voluntary agreements to facilitate the situation and not harm either party. Many have opted for this route, which has not prevented lessors from raising their concern about possible defaults.

Among the thousand surveyed by the firm, more than 8 in 10 believe they may be at risk of default on their property. "Since the second half of 2018 we have seen how the fear of the owners has had an upward trend, but the data registered in the last six months is the highest in the historical series," Cardona explains.

A fear that has led professionals and owners to gather as much information as possible about those interested in the property. After overcoming the most critical period of the health alert and resuming the normal work of real estate professionals, the number of requests for risk reports has registered an increase of 17% compared to the same dates last year.

"Since mid-May, coinciding with the reactivation of visits to the offered properties, 35% of the requests for the FIM Score Report have been registered, with which professionals and owners can know the risk profile of the interested party and, in addition, informs them about the possible history of late payment of the person studied, "they conclude from File of Delinquent Tenants.

According to the criteria of The Trust Project

Know more

  • economy
  • living place
  • Rental

HomeVarón, single and with a salary of 1,200 euros per month: this is the average tenant in Spain

VIviendaAda Colau threatens millions of fines to an investment fund accused of abusing the rental price

INEThe price of housing moderates its growth to 3.2%, its lowest advance in five years

See links of interest

  • Last News
  • Programming
  • English translator
  • Work calendar
  • Daily horoscope
  • Santander League Ranking
  • League calendar
  • TV Movies
  • Cut notes 2019
  • Themes
  • MoraBanc Andorra - Real Madrid
  • Alavés - Osasuna
  • Real Sociedad - Celta de Vigo, live
  • Girona - Numancia
  • Real Madrid - Mallorca, live