The COVID-19 pandemic caused a drop in income for people throughout Mexico, as well as the need to move for many others who lost their jobs, which resulted in a slight reduction in the price of housing rentals.
The Mexican Association of Housing for Rent ( Aver ) said that many tenants lost their jobs or have less income, which is why rents have fallen 10% in recent months.
Francisco Andragnes, president of the organization, said that the situation of the rental housing market is complex, although more stable than that of the sector for sale or commercial rentals.
“The rental market suffered less, although it is raddled because many people lost their jobs or went to live with their parents or returned to their cities. There is a retraction in demand and a decrease in income from July and August”, he explained.
Landlords reacted by negotiating with their tenants, some of whom were allowed to conclude their contracts early or to defer rent for a few months.
The level of availability, that is, the number of apartments or houses not rented, increased 5% more than the levels before the pandemic.
It is estimated that between 20% and 40% of the population in the country rents their home.