LA rent is expected to increase by $136 per month: report

Homeownership is expected to remain stagnant in coming years

TRD LOS ANGELES /
Oct.October 11, 2017 02:00 PM
Rent in Los Angeles is expected to grow (Photo illustration)

Renters in Los Angeles will have to pay roughly $136 more a month – nearly $1,630 a year – for housing by 2019, a University of South California Casden Economics Forecast found. The increase is largely attributable to low housing availability, as well as positive wage growth and employment, according to the report.

In L.A., millennials will especially impact rent as they continue to choose multifamily apartment complexes over single-family homes. Average monthly rent in the county today clocks in at $2,237 with a 3.94 percent vacancy rate. By 2019, that number is expected to grow to $2,373 a month with 3.91 percent vacancy.

The numbers are even bleaker for out-of-state transplants.

Local renters who moved from another state pay roughly $200 more than current residents, while renters who moved from somewhere else in the state pay about $124 more.

Rising rents are also likely to negatively impact employers, who could have trouble recruiting out-of-state talent due to the high cost of living. Rent growth is outpacing income growth at an unsustainable level, concluded the study’s authors, Richard Green and Christopher Thornberg.


Related Articles

arrow_forward_ios
Mitch O’Farrell wants this hospital to become housing (Credit: Google Maps and Getty Images)

Gurney housing journey: St. Vincent Medical Center could transform into supportive housing

Welton Jordan of EAH Housing, and the block in South Park where the nonprofit development organization wants to build a 64-unit complex (Credit: Google Maps)

Two affordable housing projects will add 120 units to transformed South Park

14518-14526 Erwin Street (Credit: Google Maps)

Developer wants 71-unit complex to rise in Van Nuys Opportunity Zone

Tenancy in common arrangementsare growing in gentrifying Eastside neighborhoods like Silver Lake, Echo Park and Glassell Park (Credit: iStock)

LA landlords pitch controversial ownership arrangement as rent law kicks in

Monica Rodriguez orchestrated the nixing of a residential project set for the Verdugo Hills Golf Course (Credit: Google Maps, Wikipedia)

The threat of fire doomed this Tujunga resi project. Now the developer will sue

(Credit: Courtesy Santa Fe Art Colony Tenants Association via Los Angeles Magazine and iStock)

Developer sued by DTLA artist collective over rent-restricted building

Adam Shekhter and the 1415 5th Street project

WS Communities boosts affordable housing plans in Santa Monica

AIDS Healthcare Foundation Executive Director Michael Weinstein with a rendering of Crossroads of the World

Judge clears way for Harridge’s Crossroads megaproject

arrow_forward_ios
Loading...