Rental Performance Report for December 2025: Key Findings

Wondering how on-time rent payments are faring across the nation? Take a look at Chandan Economics & RentRedi’s Independent Landlord Rental Performance Report for December 2025.

Key Takeaways on Rental Performance for December 2025

As noted in Chandan’s report, here are the key takeaways on the rental performance for December 2025:

1. In December 2025, on-time rental payments in independently operated units rose by 73 basis points (bps) to 83.7%.
2. Measured year-over-year, on-time payment rates remain materially lower than a year ago, marking the 29th consecutive month of annual declines.
3. Despite weaker on-time performance, full-payment rates have remained resilient in 2025, averaging 96.0% for the year — outperforming the 2024 average.
4. Late payments — the primary driver of underperformance in the mom-and-pop sector — remained above 10% throughout 2025, though recent data point to easing at the margin.
5. Western states continue to post the strongest on-time payment rates nationally, led by South Dakota, Utah, and Alaska, while New Hampshire remains a top-performing East Coast standout.
6. 2–4-family rental properties once again led all property types in December, posting the highest on-time payment rate at 84.2%.

Bottom Line: On-time Rent Payment Trends for December 2025

Taken together, the data point to a rental market that is stabilizing after an unusually challenging period. Late payments remain elevated, but tenant willingness to pay and supportive labor conditions are helping limit deeper income disruption. If wage gains continue and rent growth stays muted, conditions for independent landlords should gradually improve as 2026 unfolds.