Low-income renters were hit the hardest by the pandemic, but largely left out of rent savings from a market that flatlined over the past year, according to an industry market report.
Rent declines have typically been sharpest in the most-expensive areas, while remaining high in traditionally more-affordable areas.
Nationally, rents look to have hit bottom and started on an upward swing, growing for the second month in a row.
In the numbers for the San Diego metro area, according to Zillow’s February report:
- Typical rent is $2,380, $97, or 4.2%, higher than a year ago.
- Rents in the highest-priced zip codes and lowest-priced zip codes have risen at the same rate, 4.4%
- The typical home has appreciated $87,664 over the past year. It’s now worth $702,933, up 14.2% year over year and 1.5% from January to February.
- For-sale inventory has fallen 25% compared to last February.
February was another month of growth in home value as rising mortgage rates did little to slow housing demand. U.S. home values tied a record pace of monthly growth, while annual growth approached 10%.
“Home price appreciation kept up its breakneck pace in February, as a wave of early-bird shoppers competed furiously over a very limited inventory offering,” Zillow senior economist Jeff Tucker said. “Monthly price growth accelerated further in most large metros in February, suggesting that buyers still have a lot of gas in the tank to keep pushing prices higher.”
The price of a typical U.S. home is at $272,446, an increase of nearly $25,000 over the last year.
In other California markets, current typical home prices, and the percentages they’ve risen, are:
- Riverside: $441,324, 13%
- Los Angeles/Long Beach/Anaheim: $761,635, 9.6%
- San Jose: $1.3 million, 12.8%
- San Francisco: $1.2 million, 5.4%