On-time rent payments from independent landlords rose to 83.7% in December 2025, a third straight gain, per RentRedi and Chandan Economics.
Quick Answer
Rent finished 2025 on its way back up. On-time rent payments among independent landlords rose 73 basis points (nearly three quarters of a percentage point) to 83.7% in December 2025, the third monthly gain in a row, according to the Chandan Economics-RentRedi Independent Landlord Rental Performance Report. RentRedi’s data shows on-time payments still 224 bps below a year earlier, the 29th straight month of annual declines. The Chandan Economics-RentRedi forecast full-payment rate, the share of rent that eventually gets paid even when it’s late, held steady at 95.0%.
A quiet month to close the year, which suits us fine. Here is what RentRedi and Chandan Economics found for December 2025, and how it compares with the latest in our monthly rental performance reports.
Key Takeaways on Rental Performance for December 2025
The Chandan Economics-RentRedi report found six things:
- RentRedi’s data shows on-time rental payments in independently operated units rose 73 bps to 83.7%.
- RentRedi’s data shows on-time payments have fallen year over year for 29 consecutive months.
- RentRedi’s data shows full payment rates holding up, averaging 96.0% for 2025 and beating the 2024 average.
- RentRedi’s data shows late payments, the main driver of underperformance, staying above 10% throughout 2025, though recent data point to easing.
- In RentRedi’s data, Western states led, with South Dakota (94.6%), Utah (94.5%), and Alaska (94.4%) on top, and New Hampshire (92.8%) the standout East Coast state.
- By property type, RentRedi’s data shows 2-4 unit rentals led at 84.2%, ahead of single-family (83.6%) and multifamily (82.9%).
What the December 2025 Data Shows
RentRedi’s data shows 83.7% of units paid their full rent on time in December, so roughly 1 in 6 units in RentRedi’s data missed the due date. On a 10-unit portfolio, RentRedi’s numbers work out to about two tenants paying late in a typical month. Chandan Economics put December 134 bps above the September 2025 trough.
As usual, the first number isn’t the last one. Chandan Economics revised November from 83.7% to 82.9%, so a first estimate can run a little high. The Chandan Economics-RentRedi data shows on-time payments 224 bps below December 2024, though RentRedi’s data shows that annual gap tightening after drops of about 300 bps in the summer.
Late payments looked like they were finally moving. RentRedi’s data shows the three-month average climbing from a low of 8.4% to what looked like a post-pandemic high of 13.4% in September 2025, above 10% every month of the year. Chandan Economics saw signs the worst had passed, with the average easing to 12.9% in October and forecast to reach 11.7% in December.
The Chandan Economics-RentRedi forecast full-payment rate, which counts on-time payments plus late payments expected to come in, held at 95.0%, and Chandan Economics said actual full payment has beaten the forecasts lately because late rent keeps getting resolved. RentRedi’s data shows full payment averaging 96.0% for 2025, between the 2023 average (96.6%) and the 2024 average (95.3%). Since partial payments count as unpaid in the data, the real hit to your income may be smaller than the headline.
Where Rent Payments Were Strongest
The West led again. RentRedi’s data shows South Dakota, Utah, and Alaska leading all states, and our Utah landlord tenant law guide covers the 2026 rules if you own there. New Hampshire (92.8%) stayed the top East Coast performer in RentRedi’s data, while Chandan Economics noted the bottom of the list sat in the high-70% to low-80% range, so the recovery is uneven.
The Chandan Economics-RentRedi data shows every property type improving, with 2-4 unit rentals leading at 84.2%. Small buildings are still the sweet spot.
Chandan Economics called the job market a backstop: less hiring, but not widespread layoffs, with inflation-adjusted wages rising and annual apartment rent growth sliding. Its read is that further improvement in rent collections looks likely in 2026.
How December 2025 Compares With September 2026
The December number didn’t hold either. Chandan Economics’ January 2026 report revised December from 83.7% to 83.1%, with January itself at 83.3%. The Chandan Economics-RentRedi September 2026 report has on-time payments at 83.2%, so the latest reading sits only about 10 bps above where December 2025 ended up.
What changed is the direction. That Chandan Economics-RentRedi report has collections 91 bps above September 2025, where this one showed 224 bps below a year earlier. Late payments are still stubborn, though: the same Chandan Economics-RentRedi report puts them at 12.6% in July 2026, down from the 13.5% peak Chandan Economics’ August 2026 report later put in January and February 2026, but far from the 8.4% low.
For RentRedi’s read on the latest month, see September 2026 on-time rent data.
What Landlords Can Take From the Data
Here’s the part you control: make paying on time the easy thing. RentRedi’s autopay and reminders survey found that units with tenants on autopay reach a 99% on-time rate, compared with 87% without it.
In the same RentRedi survey, tenants ranked automatic reminders highest for helping them pay on time, at 44%. A heads-up before the due date goes a long way. Keeping a tenant ledger also shows you at a glance who pays on time and who drifts.
Read the full December 2025 report from Chandan Economics
Tired of chasing rent? See how RentRedi’s automated rent collection handles autopay, reminders, and late fees.