{"id":2285,"date":"2023-12-05T19:40:45","date_gmt":"2023-12-05T19:40:45","guid":{"rendered":"https:\/\/identia.digital\/property\/?p=2285"},"modified":"2023-12-05T19:48:50","modified_gmt":"2023-12-05T19:48:50","slug":"2285-2","status":"publish","type":"post","link":"https:\/\/identia.digital\/property\/2285-2\/","title":{"rendered":"OC Rents Continue to Rise through 2025 According to The Register"},"content":{"rendered":"
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Southern California rents to rise 2-4% a year through 2025, USC forecast says<\/span><\/h1>\n

A lack of apartment construction could trigger bigger increases in the following years, housing economists predict.<\/h2>\n<\/div>\n<\/div>\n<\/div>\n<\/header>\n
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\"Reseda<\/div>
Reseda Boulevard apartments listed for rent. The USC \u201cCasden Multifamily Forecast\u201d projects rent hikes will remain low only through 2025. (File photo by Dean Musgrove, Los Angeles Daily News\/SCNG)<\/p>\n

According to the Orange County Register, rents are going to continue to rise.<\/h1>\n

I have long been saying this to our property owners: rents are still on the rise, but we are also finding that renters are being pickier and not taking the first available rental. We are working harder and doing many more showings than just a year ago. Rentals are staying a little bit longer on the market and we are finding that our renters are staying longer in the units we manage- Kurt Galitski, Principal and Broker of True Property Management,<\/a><\/p>\n

You will find this article to be very useful as an owner.<\/h1>\n<\/figcaption><\/figure>\n
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By\u00a0JEFF COLLINS<\/a>\u00a0|\u00a0JeffCollins@scng.com<\/a>\u00a0| Orange County Register<\/div>\n
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Southern California apartment rents will increase 2-4% a year through 2025, giving renters some relief from the incessant hikes that plagued their pocketbooks in recent years, a USC forecast said.<\/p>\n

Below-average increases are forecast for Los Angeles, San Diego, Riverside and San Bernardino counties, according to the University of Southern California\u2019s recent Casden Multifamily Forecast.<\/p>\n

In Orange County \u2014 Southern California\u2019s strongest rental market \u2014 increases will be slightly above average, with the typical asking rent hitting a record high of $2,800 per month by late 2025. Ventura County hikes are projected to be in the average range.<\/p>\n

But rent growth in 2024-25 will be nowhere near the massive increases seen during the pandemic, when hikes ranged from 12-18% a year.<\/p>\n

After two years, however, the pace of rent hikes should increase amid a slowdown in apartment construction, according to the forecast, complied by the USC Lusk Center for Real Estate.<\/p>\n

See also:<\/strong>\u00a0Why this UCI economist says the Fed misread rent inflation<\/p>\n

And landlords will face hard times as they struggle to replace low-interest loans coming due in the next four years, the forecast said. High interest rates and surging operating costs will put more building owners in a bind, resulting in foreclosures and fewer resources needed to increase the housing supply.<\/p>\n

\u201cAs the industry takes time to sort out financing, new supply will dip lower and lower,\u201d forecast authors said in a statement. \u201cVacancy will drop, and rents will climb.\u201d<\/p>\n

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See also:<\/strong>\u00a0California renters pay 43% more than US, but the gap\u2019s shrinking<\/a><\/p>\n

A metro-by-metro breakdown \u2014 based on CoStar\u2019s survey of market rate buildings with five or more apartments \u2014\u00a0shows:<\/p>\n

\u2014 Orange County: average asking rent will hit $2,837 a month by the summer of 2025, up from $2,631 this past summer.<\/p>\n

\u2014 Los Angeles County: rent will average $2,306 in the summer of 2025, up from $2,231 this past summer.<\/p>\n

\u2014 Inland Empire: rent will average $2,049 in the summer of 2025, up from $1,994 this past summer.<\/p>\n

\u2014 San Diego County: rent will average $2,540 in the summer of 2025, up from $2,421 this past summer.<\/p>\n

\u2014 Ventura County: rent will average $2,671 in the summer of 2025, up from $2,507 this past summer.<\/p>\n

Vacancy rates are projected to remain in the 4-6% range over the next two years, forecast figures show.<\/p>\n

See also:\u00a0<\/strong>California bill would rein in high rent security deposits<\/a><\/p>\n

Census data shows rent already is too high for most people. As of 2021, more than half of all renter households in the region paid more than 30% of their income on rent, an amount economists deem to be unaffordable.<\/p>\n

Such \u201crent-burdened\u201d households accounted for 53% of tenants in Orange, Riverside, San Bernardino and Ventura counties and 56% of tenants in Los Angeles and San Diego counties,\u00a0census data showed.<\/p>\n

And eventually, the pace of rent hikes will creep back up as high interest rates continue to discourage new apartment construction.<\/p>\n

\u201cThe rental housing shortage in Los Angeles County remains a chronic problem,\u201d the report said. \u201cEven though the number of delivered units was above average for the last twelve months, \u2026 the county is still not producing enough housing.\u201d<\/p>\n

See also:\u00a0<\/strong>Is California\u2019s COVID-era rent relief program running out of money?<\/a><\/p>\n

LA County building permits for new apartments this year so far fell 13% to just under 11,000 units, the forecast said.<\/p>\n

Orange County is on track to build only about 2,600 units a year from 2023-25.<\/p>\n

Apartment construction in the Inland Empire, meanwhile, is outpacing Orange County and, on a per capita basis, L.A. County.<\/p>\n

The Inland Empire issued permits for just over 6,200 apartments this year so far. That amounts to 4.1 permits per thousand renters vs. 2.3 permits per thousand in L.A. County.<\/p>\n<\/div>\n<\/div>\n<\/div>\n<\/div>\n","protected":false},"excerpt":{"rendered":"

Southern California rents to rise 2-4% a year through 2025, USC forecast says A lack of apartment construction could trigger bigger increases in the following years, housing economists predict. Reseda Boulevard apartments listed for rent. The USC \u201cCasden Multifamily Forecast\u201d projects rent hikes will remain low only through 2025. (File photo by Dean Musgrove, Los […]<\/p>\n","protected":false},"author":1,"featured_media":0,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"_acf_changed":false,"inline_featured_image":false,"_uag_custom_page_level_css":"","site-sidebar-layout":"default","site-content-layout":"","ast-site-content-layout":"default","site-content-style":"default","site-sidebar-style":"default","ast-global-header-display":"","ast-banner-title-visibility":"","ast-main-header-display":"","ast-hfb-above-header-display":"","ast-hfb-below-header-display":"","ast-hfb-mobile-header-display":"","site-post-title":"","ast-breadcrumbs-content":"","ast-featured-img":"","footer-sml-layout":"","ast-disable-related-posts":"","theme-transparent-header-meta":"default","adv-header-id-meta":"","stick-header-meta":"default","header-above-stick-meta":"","header-main-stick-meta":"","header-below-stick-meta":"","astra-migrate-meta-layouts":"set","ast-page-background-enabled":"default","ast-page-background-meta":{"desktop":{"background-color":"var(--ast-global-color-4)","background-image":"","background-repeat":"repeat","background-position":"center center","background-size":"auto","background-attachment":"scroll","background-type":"","background-media":"","overlay-type":"","overlay-color":"","overlay-opacity":"","overlay-gradient":""},"tablet":{"background-color":"","background-image":"","background-repeat":"repeat","background-position":"center center","background-size":"auto","background-attachment":"scroll","background-type":"","background-media":"","overlay-type":"","overlay-color":"","overlay-opacity":"","overlay-gradient":""},"mobile":{"background-color":"","background-image":"","background-repeat":"repeat","background-position":"center center","background-size":"auto","background-attachment":"scroll","background-type":"","background-media":"","overlay-type":"","overlay-color":"","overlay-opacity":"","overlay-gradient":""}},"ast-content-background-meta":{"desktop":{"background-color":"var(--ast-global-color-5)","background-image":"","background-repeat":"repeat","background-position":"center center","background-size":"auto","background-attachment":"scroll","background-type":"","background-media":"","overlay-type":"","overlay-color":"","overlay-opacity":"","overlay-gradient":""},"tablet":{"background-color":"var(--ast-global-color-5)","background-image":"","background-repeat":"repeat","background-position":"center center","background-size":"auto","background-attachment":"scroll","background-type":"","background-media":"","overlay-type":"","overlay-color":"","overlay-opacity":"","overlay-gradient":""},"mobile":{"background-color":"var(--ast-global-color-5)","background-image":"","background-repeat":"repeat","background-position":"center center","background-size":"auto","background-attachment":"scroll","background-type":"","background-media":"","overlay-type":"","overlay-color":"","overlay-opacity":"","overlay-gradient":""}},"footnotes":""},"categories":[1],"tags":[],"class_list":["post-2285","post","type-post","status-publish","format-standard","hentry","category-uncategorized"],"acf":[],"yoast_head":"\nOC Rents Continue to Rise through 2025 According to The Register - True Property Management<\/title>\n<meta name=\"robots\" content=\"index, follow, max-snippet:-1, max-image-preview:large, max-video-preview:-1\" \/>\n<link rel=\"canonical\" href=\"https:\/\/identia.digital\/property\/2285-2\/\" \/>\n<meta property=\"og:locale\" content=\"en_US\" \/>\n<meta property=\"og:type\" content=\"article\" \/>\n<meta property=\"og:title\" content=\"OC Rents Continue to Rise through 2025 According to The Register - True Property Management\" \/>\n<meta property=\"og:description\" content=\"Southern California rents to rise 2-4% a year through 2025, USC forecast says A lack of apartment construction could trigger bigger increases in the following years, housing economists predict. 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