Posted on 09/27/2016 6:25:08 PM PDT by nickcarraway
A new report out shows rent prices are falling in several Bay Area cities.
The trend for rent prices has been up for such a long time but in San Francisco, rent came down by 6 percent last month.
Abodo, an apartment search website, released a new study showing where the biggest increases and decreases were in rents for one bedroom apartments across the country. >>>Click here to see the report.
Rent in San Francisco between August to September went from around $3,950 a month to around $3,700.
In San Jose, the news was better. It ranked number two in the nation as having the biggest fall in rent during the same time period. Prices there decreased by 12 percent.
A one bedroom went from around $2,800 to $2,455. In Oakland, it was the opposite. Rent prices increased with the average rent going up about $45.
So it's unknown if Oakland will eventually go down as well, but some in housing and rental industry say what's happening here in the city and in San Jose could be sign that the rental market is flattening out.
Even I was shocked at what my realtor told me I could get for my little Spanish Colonial here in LA!!
This is probably due in some measure to the massive building of rental units in the Bay Area.
A couple of years paying rent in San Francisco could buy you a pretty nice place in much of the South or Midwest.
I don’t expect the low prices to last for very long. Not in this area. It’s that way here in Marin too. A nondescript brown shack is sold for top dollar in Sausalito, Ca. Why so high? Because it’s in Sausalito, Ca., or because someone expects to have to pay that much. So they do.
I’m hearing some interesting things in the commercial real estate market. In many large metro areas, there has been a flood of new rental housing built in the last few years as more and more people decide that owning a home is not a great financial position for them to be in. Banks are now cutting their exposure to these types of projects because they anticipate a combination that could be disastrous for small real estate developers: rising interest rates on commercial mortgage renewals, and falling rents as the excess supply drives the prices down.
I am paying $2300 for one bedroom 720 sq ft. no washer=dryer inside apt in Sunnyvale, CA (Silicon Valley)
For one bedroom? In Sunnyvale? That’s more than I’ve seen.
I am paying that much. Tell me if you have lower than this. My lease is up for renewal end of this month.
Geez, I must have been gone from California longer than I thought. What you’re paying for your apartment is so far removed from my reality, I can’t even think with it.
My house, in a nice suburb right outside of Dallas, is 2,500 square feet with a two car garage on an 8,800 square foot lot. My mortgage payment? $1,300 a month (including property taxes and insurance).
I enjoyed my years living in Sunnyvale but I’m sure glad I don’t have to pay those rates anymore.
Who can afford the lower rent let alone that high rent!
It's a big reason why our daughter permanently moved from the San Jose area to Texas. She lived at home for 15 months after finishing college before relocating to Texas. As it was, she spent a bit over half of her time in Texas on business. She saved enough while living with us to be able to put a solid down payment on a house in Texas. She's renting there now with a friend at 20% of the cost of renting in the SJ/South Bay, but her salary remained the same.
No question, there is a tremendous amount of new apartments, condos and houses going up in the South Bay.
I think the prices of houses have peaked as well for the time being.
There are several housing developments just breaking ground now. They are a little late to the party.
Good grief, I thought prices were outrageous where I live. I am 72 and when I was a child a whole family could live for a year in this area on LESS than one month of your rent and I suspect in San Francisco as well. The dollar has been destroyed and still they have the audacity to claim the problem now is DEflation.
“...there has been a flood of new rental housing built in the last few years as more people decide that owning a home is not a great financial position for them to be in.”
Am I missing something here? How does donating $35-50k a year to a landlord place anyone in a better financial position?
Methinks some of these apartment dwellers are unwittingly being conned by the pro-Agenda 21, anti-private property collectivist mentality.
72 also, and I recall in my early teens our rent for the upstairs apartment in a two family home less than two miles from the beach was $55 a month.
I am in N Nevada high desert. I have a horse property —5.58 acres—for sale. Sunday, I had 3 females & 2 males look at the property. Appeared to be all one family. brothers or some such.
The males claimed they both worked UNION construction in San Fran/San Jose. They both rent. This property is over 400 miles from San Fran/San Jose. Maybe the payment on this property would be less than their combined rent. They are looking to completely get out of Calif & move to Nevada.
Calif is truly teetering on the brink.
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