• Home
  • Who We Are
  • Journal
  • Contact Us
Surviving SacramentoSurviving Sacramento
Surviving SacramentoSurviving Sacramento
  • Home
  • Who We Are
  • Journal
  • Contact Us
USC Report Claims Rents will be Unaffordable, even with Rising Wages

USC Report Claims Rents will be Unaffordable, even with Rising Wages

January 4, 2018 Economy, Housing

In October, the annual USC Casden Real Estate Economics Forecast was released and its findings aren’t too good for Sothern California residents. Apparently, rents will keep rising over the next two years because the supply of apartments is tight and not enough new housing is being built. In Los Angeles County, the average monthly rents are expected to rise to $2,373 by 2019, which is up $136 from the 2017 average. According to Richard Green, director of the USC Lusk Center for Real Estate, wages have been growing faster than housing prices over the last two years, which have made rents easier to tolerate. However, Green stated,

So income growth goes back to growing 2 percent a year and rents are going up 3 percent a year. You’ll see us starting to fall behind again.

Green believes that the rising wages will not keeping increasing enough to further lower the burden of increasing housing prices. In other parts of Southern California, monthly rents are also expected to increase by 2019. For instance, monthly rents are projected to jump $149 to $2,157 in Orange County; $124 to $1,573 in the Inland Empire; and $121 to $2,048 in San Diego County. Unfortunately for Los Angeles, it also has one of the lowest home ownership rates of any major market. Hopefully something is done so that more people are not forced out of their homes due to increasing rents.

Read the full article here

Tags: ApartmentsBuildingConstructionEconomyHousingHousing PricesIncreaseIncreasingInland EmpireLos AngelesLos Angeles CountyOrange CountyRentSan Diego CountySouthern CaliforniaUniversity of Southern CaliforniaUSCUSC Casden Real Estate Economics ForecastUSC Lusk Center for Real Estate
Share

You also might be interested in

Governor Newsom’s Budget Looks Good on Paper, but What About in Real Life?

Governor Newsom’s Budget Looks Good on Paper, but What About in Real Life?

Feb 18, 2020

Then candidate Brown promised potential voters that lowering California’s debt[...]

California Voters will Decide on $15 Billion Bond to Renovate Schools

California Voters will Decide on $15 Billion Bond to Renovate Schools

Nov 15, 2019

On March 3, 2020, California voters will decide on a[...]

Proposed Bill to Redefine and Protect Big Economy Workers Passes California Senate

Proposed Bill to Redefine and Protect Big Economy Workers Passes California Senate

Sep 12, 2019

Yesterday, Assembly Bill 5 (AB 5) was passed in California’s[...]

© 2022 · Surviving Sacramento.

Prev Next