In the last month Zumper is reporting a big rent drop in non-studio apartments in San Diego. This is kind of surprising!
I was sort of expecting a drop in the fall, but didn’t think that it would happen this early. I’ll be watching this closely as well as looking for corroboration from some other sources.
According to Zumper,
Over the past month, the average rent for a studio apartment in San Diego increased by 2% to $2,000. The average rent for a 1-bedroom apartment decreased by -7% to $2,295, and the average rent for a 2-bedroom apartment decreased by -10% to $2,750.
Why does this matter? Because high rents make it worthwhile for investors to keep buying at high prices as well as force more renters to become buyers. A lot more detail on that here.
Edit: I actually am starting to think this data is wrong. Because ApartmentList doesn’t reflect it at all. I’ll try to update when I find some more info.
Disclaimer: I’m an idiot first time home buyer. I’ve never taken an econ class in my life. I’m just sharing what I see and learn as it happens. I am 100% certain I will get things wrong, so don’t take any of this as the golden truth.