Over the next five years, rents in San Diego County are expected to rise almost twice as fast as they did in the preceding decade, according to projections by CBRE.
From 2004 to 2014, the average rent in San Diego County rose from $1,242 to $1,542 per month, a 24 percent increase. By 2019, the average rent is expected to hit $1,830 per month, 19 percent more than the current average, said Dixie Hall, a CBRE apartment specialist.
“If we weren’t under supplied, we’d have much higher vacancy and we wouldn’t be seeing the rent raises that we are,” Hall said. “And we wouldn’t be seeing people paying $2,000 for a one bedroom.”
Speaking to about 200 people at a panel held Thursday by the San Diego County Apartment Association and the Certified Commercial Investment Member San Diego chapter, Hall said demand for rentals has increased because of three major factors: millenials are moving out of their parents’ homes, previous homeowners now choose to rent, and others still have credit issues from the Great Recession and can’t qualify for a mortgage.
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