A swap of rental trends took place this past month, as while national rent prices dropped in November, Santa Monica’s climbed.
According to the November rental report by Apartment List, Santa Monica median rent grew by 1.3% in the month, with the median one-bedroom apartment now going for $2,338 and the median two-bedroom listed at $2,803.
The growth comes in a year where Santa Monica rents have fallen sharper than the national average, now standing at a 2.9% drop year-over-year heading into December. Currently, the cheapest one-bedroom apartment on Apartment List in the city is for $2,100; with the most expensive going for $6,800.
Despite Santa Monica rents dropping faster than the national average, national rent dropped 0.8% in November while the city’s climbed. The Apartment List report noted that November was the steepest single-month drop for the country this year, with the month typically the “softest” for the United States.
With trends in price changing in November, trends in demand did not when it comes to the Los Angeles area. In its monthly Rental Activity Report, RentCafe stated that Los Angeles moved from 12th to 10th in the rankings for most in-demand major rental markets. The city climbed into the top 10 after ranking falls for two North Carolina cities, Fayetteville and Winston-Salem.
In assessing the continued demand for Los Angeles apartments, RentCafe pointed to saved searches decreasing by 24% year-over-year, “signaling a swift approach” and that renters were able to find places they liked at a more rapid rate.
“Moreover, high interest rates are making homeownership in Los Angeles less accessible and pushing more people to rent amid a strong, diverse job market in entertainment, tech and health care,” RentCafe data analyst and real estate writer Florin Petrut added.
Much of the demand for apartments, RentCafe also stated, came from locals wanting to move within the area, followed by renters in other local areas like East Los Angeles and Inglewood. For movers in other markets, New York City was noted as a prominent spot from which LA demand was derived.
Furthermore, Los Angeles was ranked as the most desirable city in the West region of the country, followed by Spokane and Vancouver in Washington, Reno, Nevada and Portland.
Nationally, RentCafe pointed to Washington, DC as the most in-demand city for renters after a steady climb in the rankings all year long. The nation’s capital going to the top echoes regional trends, with the South bringing in 14 of the top 30 most sought-after rental options in the report.
For more information from Apartment List, visit apartmentlist.com. For more information from RentCafe, visit rentcafe.com.
thomas@smdp.com
