Long Beach is especially hot
Newly released data from the U.S. Department of Labor shows that rental prices in the Los Angeles area increased roughly five percent over the course of 2016. That was a bit higher of a jump than prices nationwide, which rose four percent.
As numerous recent reports have noted, rents have begun dropping off in some of the country’s priciest markets, including San Francisco and New York City. But in LA, prices have continued to grow, surpassing national averages.
According to data analyzed by apartment finder Rent Cafe, some of the biggest increases in the LA-area were found in Long Beach, where prices rose nine percent in 2016. But the county’s southeastern city is still significantly cheaper than the city of Los Angeles. In December, the average price of rent was $1,828—nearly $350 less than in LA, where average rents ran $2,169.
As demand seems to be rising in Long Beach, developers have begun to show more interest in the area. A year-in-review released by the city noted that four major multifamily residential projects were completed in 2016, with 12 more under construction or in the pipeline.
Should voters in the city of Los Angeles approve the controversial Measure S initiative in March—thus putting a two year hold on most major developments—Long Beach might become even more attractive to developers.
- LA remains the seventh-most expensive rental market in the U.S. [Curbed LA]
- Fewer young people are living in LA, and high housing costs are likely to blame [Curbed LA]
- More than half of LA residents are paying too much for rent [Curbed LA]