Rents Drop Nationwide as Vacancies increase
Rents Drop Nationwide as Vacancies increase. Newsweek magazine checked 27 large cities and compared the rents. to read the whole story click here.
San Francisco-San Mateo-Redwood City, Calif.
Rank: 17
Rent drop: -2.3%
Q4 2008 rent change: -3.0%
Q4 2007 rent change: -0.7%
Effective rent: $1,994
The San Francisco area, known for it’s beautiful bay view, the Golden Gate Bridge, liberal attitudes and scenic views has high rents. My son who rents in Nobhill neighborhood used to say that there was no parking space. Now he can find parking every night. Rents have begun to soften with the sagging economy. The unemployment rate climbed to 5.7% in November 2008 compared to 4% in November 2007. The apartment vacancy rate jumped to 4.6% in the fourth quarter last year from 3.6% in the same period in 2007. Landlords on average are giving 0.6 weeks of rent
San Jose-Sunnyvale-Santa Clara, Calif.
Rank: 7
Rent drop: -3.0%
Q4 2008 rent change: -3.0%
Q4 2007 rent change: 0.0%
Effective rent: $1,788
Silicon Valley, the nation’s technology capital, is suffering from layoffs and dimming economic prospects as the recession deepens. The unemployment rate in the San Jose metro area climbed to 7.2% in November 2008 compared to 4.9% in November 2007. The apartment vacancy rate jumped to 4.2% in the fourth quarter last year from 3.5% in the same period in 2007. Landlords on average are giving rent concessions of one week. More for rent signs and renters are becoming more selective. I took a family who was relocated from Boston, to see some homes, they actually had a selection and found a nice place in Cupertino for under $3000.