How Much Do Renters Lie?

Lew Sichelman

It is often said that homebuyers want one thing and end up purchasing another. Thus, the oft-stated quip, “buyers are liars.” But renters lie, too. Not in the marketing sense so much as on their applications and on damages when they vacate, among other things.

Not many tell fibs, according to new research that compared tenants in Australia, Canada and the United States. There’s no need here to report how tenants in the three countries equate. Suffice it to say that Americans are worse in almost all the categories studied by Compare the Market, an Aussi home loan comparison site which polled 1,005 U.S. renters.

For example, one in 10 Yanks admitted to lying on their rental applications. Not so bad, considering that the market is tight, tight, tight in many locales. Actually, it’s probably a wonder why more applicants don’t tell a whopper or two.

But when the liars are broken down by age group, the survey found that 21.5 percent in the prime 25-to-34-year-old rental age group confessed their sins. Almost as bad, 14.5 percent of 35-44 year-olds and 13.5 percent of 18-to-24 year-olds did the same.

As folks grow older, though, they probably don’t need to stretch the truth, and they don’t, the study found. “Only” 8.6 percent of those on the 45-54 year-old age range misspoke, as did just 2.6 percent of the 55-64 year-olds and 0.6 percent of those over 65.

Remember, though, these are only the respondents who told the truth about lying. So likely the percentages are higher–perhaps much higher.

Concealing Damages

People also sometimes conceal damage to their apartments or rental houses. Again, one in 10 Americans overall do so. But GenYers and GenZers are more likely to try to hide holes in the wall, broken appliances or broken closet doors. Almost two out of five of these age groups have concealed property damage, the survey found.

On the plus side, about two-thirds of Americans in general were more likely to speak up about damage. Broken down—pardon the pun—15.5 percent would tell their landlords only about significant damage and 11.9 percent would report only minor damage. But 6.9 percent could keep their traps shut altogether.

The study also found that 13.4 percent of tenants had breached their leases in one way or another and 6.5 percent had been refused their security deposit refunds. Again, people in the lower age ranges were denied most often. The most common reasons were: floor damage, water damage, and damage to walls, door, windows and countertops.