From the US Census Bureau’s Quarterly Vacancy and Homeownership Rates
Los Angeles has the highest rate of renters in the nation, at 52 percent, according to a Harvard Joint Center for Housing Studies study, and there isn’t nearly enough new housing being built. (The city’s working on that.) KPCC says that one additional contributing factor to the low vacancy rate is the amount of young people in LA, who rent because they like “the flexibility that a rental offers,” which perhaps is a nice way of saying the average Millennial can really only afford to spend about $110,000 on a house, which in LA basically means they can not buy a house. (The median price in the area is $575,000.) Whatever the reason, all that demand and not enough supply usually means rents will rise.
· LA rents: Vacancy rate falls to 2.7 percent as area’s rental market tightens further [SCPR]
· 58.5 Percent of Los Angeles Renters Can’t Afford Their Rent [Curbed LA]