The Colorado Apartment Association Reports 91% Of Coloradans Paid April Rent and Encourages Resident

DENVER (April 17, 2020) – The Colorado Apartment Association is reporting that approximately 91% of
Colorado renters were able to pay their April rent on time.

CAA reports that the April rent delinquency rate was 9%, which is 1.8% higher than the average January
and February delinquency rates. According to a poll to CAA members, many housing providers have
created payment relief plans for residents who are struggling to pay April rent. On average, the plans
allow for April rent to be paid over the next four months. The polling also concluded that only 3% of
Colorado renters have approached their housing provider about being on a deferment payment plan,
however, CAA anticipates this percentage will increase in May.

Colorado continues to outperform on time rent payments, when compared to the national April rent
payments. According to the National Multifamily Housing Council, 84% of the 11.5 million apartment
units surveyed made a full or partial rent payment by April 12, which is up 15 % from numbers reported
on payments made by April 5. NMHC also examined historical numbers and found that 90% of renters
made full or partial payments April 1-12, 2019, and 91% of renters March 1-12, 2020.

“Although April rent payments remain steady in Colorado, our organization understands that the
economic impacts of coronavirus are still unfolding,” said Mark Williams, executive vice president of
CAA. “Residents are continuing to experience job furloughs, layoffs and some residents may not receive
a paycheck during the month of May. As such, we encourage any resident who has been impacted by
virus-related income or job loss to reach out to their housing provider immediately for financial
assistance and payment options.”

It is important for residents to continue making rent payments if they are able. Some residents who rent
think that mortgage payments are the only cost associated with providing rental housing, however,
according to a breakdown by the National Apartment Association, only 9% of every rent dollar is
returned to the housing provider. For the rest of the rental payment, 38% accounts for the property
mortgage, 27% is used to cover payroll expenses, 14% goes towards property taxes which in turn
support the community, and 10% covers capital expenditures like unit repairs. Halting rent payments,
and even halting mortgage payments, does not account for the majority of necessities that rent
payments cover.

The circumstances Coloradans are experiencing with the coronavirus pandemic are unlike any previous
economic downturn. Although Coloradoans may feel financially insecure, rental payment plans and
other forms of assistance housing providers are offering for coronavirus-impacted residents changes the
level of risk these residents are facing.

The combination of state unemployment benefits, coupled with the federal expanded unemployment
under the CARES Act resulting in up to an extra $600 per week for residents who make up to $74,000
per year and the federal stimulus check also under the CARES Act of $1,200 will effectively close the gap
of shortfall for a large number of citizens. These calculations do not include the additional $500 per child
under 17 years of age coming this month, or the small business money coming in next month in the
form of grants and low interest loans. The amount of federal support of coronavirus differentiates this
circumstance from prior periods of unemployment.

If a resident has concerns about current or future rent payments, CAA encourages that the resident
contact their housing provider immediately. CAA has also put together a list of COVID-19 resources for
residents, which can be found here: https://www.aamdhq.org/news/coronavirus under the Renter
Resources tab.

About the Colorado Apartment Association
The Colorado Apartment Association (CAA) is a non-profit trade association representing owners,
developers, management companies, and vendors of the multifamily rental housing industry. CAA is
comprised of four local affiliates from across the state. The association represents over 3,100 members
who own and manage over 300,000 apartment homes, which totals more than $60 billion in assets.
Together with the local affiliates, the National Multifamily Housing Council, and the National Apartment
Association (NAA), CAA offers a strong network of information, education and representation of the
multifamily housing industry