About 25% of property owners were in rent arrears in the first half, 28% of which correspond to defaults of more than six months, according to a barometer from the Owners’ Association of Lisbon (ALP), released this Monday.
“Contract breach remains a scourge of the rural rental market in the first six months of 2022: one in four respondents to the 5th edition of the ALP Barometer (24.4%) is rent arrears,” according to the ALP survey.
Among those with rent arrears, a third of defaults are up to three months rent arrears, but a significant proportion of 28% of respondents have received more than half a year’s rent.
Still, the association indicated that more than half of landlords with defaulting tenants (54.4%) admit to not going to court or imposing evictions.
With regard to annuity insurance, which reduces the risk of lease default, nearly 30% of the owners surveyed found the premiums very expensive and a proportion of nearly 10% do not trust insurers, while a fifth of respondents said they would open up. to consider this possibility.
As for the absolute majority government of the Socialist Party (PS), more than 90% of property owners said they do not trust the executive, and almost half of respondents (47.5%) admitted that they believed “there may be a temptation to take populist measures this year”.
In this sense, more than a quarter of the owners consulted (26.4%) believed that the Liberal Initiative (IL) will lead the opposition to government, garnering more responses than the PSD as the main opposition party, although one a third of respondents (32.4%) believed that “no party will be able to cope with the absolute majority of the PS”.
The 5th edition of the ALP Barometer collected responses from 259 owners, with approximately half (50.8%) of respondents owning up to five properties and nearly half (46.2%) being over 65 years of age.
Half of respondents (48.8%) earn up to three gross minimum wages for their rental market assets and nearly 70% of owners earn up to five gross minimum wages.
For 39.5% of the respondents, property income is more than half of their disposable income, while they represent all of their income for 17.8%.
More than half (55%) of the owners surveyed are property owners in Greater Lisbon, but the ALP barometer takes on a national dimension, with responses from across the continent and also the islands.
Source: DN
