SAN DIEGO – As the calendar flips to summer, rent prices appear to be falling in San Diego in a trend seen in markets throughout the U.S., according to a new report from the online rental platform Zumper.
The median rent price for a one-bedroom in June was $2,320 and it was $2,910 for a two-bedroom, both marking a 6.1% dip from last month, the report shows. Prices for both are still up double digits from the same time last year, but data from the platform indicates markets may be cooling amid a period of national economic disruption.
San Diego was listed among Zumper’s top five fallers in June along with Tallahassee, Florida, Anchorage, Alaska, Urban Honolulu, Hawaii and Syracuse, New York.
“With an unpredictable stock market, the ever-increasing cost of living, ongoing war in Ukraine, and talk of a recession, many consumers are tightening their wallets and reconsidering their living arrangements yet again,” the report reads.
In the U.S., rent prices were up half of a percent from May and down nearly 3% for two-bedrooms, which the report notes is “a sign that rent hikes are beginning to slow.” The most expensive market continues to be New York City, which saw its median price at $3,600 for a one-bedroom and $3,950 for a two-bedroom.
Six of the 10 most expensive markets for a one-bedroom were in California, according to the report, including San Diego which was the seventh most expensive market for one-bedrooms.
See how other California cities charted in the Zumper report, sorted by the median price of a one-bedroom:
Analysts also see the housing market slowing with listed homes available for longer periods of time, prompting price reductions. In June, FOX 5 real estate expert Ken Kaplan acknowledged the market cooldown, saying he’s seen a steady shift in the past several months.
“Homes are receiving one or two offers instead of 20 and not going over asking price, but maybe at asking price,” Kaplan told FOX 5’s Kasia Gregorczyk.
Kaplan said it effectively creates a new dynamic at both ends of the market. For potential buyers, “the ball may be back in their court” in terms of negotiations while potential sellers may consider putting their home on the market because of their appreciation value, he said.
Click or tap here to read the full Zumper report.
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