Have rent collections become more challenging where local governments had imposed restrictions on evictions? It appears that investors may want to keep a close eye on eviction moratoriums. Despite the 90% collection rate reported by apartment owners, the market is responding differently and apartment equity indices are showing significant devaluations. Coastal city rent cuts and concessions like months of free rent mean that property owners are basically buying occupancy now.
As the dramatic downturn of markets like New York and San Francisco accelerate, will they spread to other regions of the nation? How long will concessions continue to maintain occupancies before vacancies catch up again? And can suburban apartment properties insulate themselves from the problems plaguing the urban cores?