HOW MUCH ARE YOU ACTUALLY WILLING TO PAY?!
If you are a current renter in San Diego County I am sure you have noticed the annual Inflation increasing rapidly. A recent article by SDCAA (San Diego County Apartment Association) reported that the nation average vacancy rate is 4% and San Diego County is much lower at only 2.7%. This not only makes it hard to find a San Diego rental, but it shows that a majority of renters are willing to accept the increase of rent every year or every two years. The job market and highly accredited Colleges and Universities in San Diego are what seem to bring so many renters to the area every year. Of course the beaches and year round summers don’t seem to hurt either. In the same article the SDCAA stated that rent has raised 5 to 10 percent in the past 8 months.
Many renters are willing to pay the added cost of living rate to stay close to the beach towns or within walking distance to the local night life.
According to San Diego Union Tribune, Downtown San Diego is currently the most expensive place to live in the country at an average rent of $2,004.00 per month. If you were to take a walk down town you will see that these high priced units are not always equipped with a yard and a large 2 car garage, but instead have a neighbor on all sides and a shared laundry room 4 stories down. Yes you might get lucky and your rent might include a shared swimming pool (how nice does that sound in this heat) or a spa/gym but in order to find those gems you must be willing to search. You will also find that even with the increased rent many homes are not allowing pets. With San Diego being a very pet friendly (65% of renters) community is it extremely hard to find pet friendly housing. Pet friendly housing might also increases your monthly rent drastically. Landlords realize that pet friendly units are hard to come by so it is very common to be asked to pay pet rent, yes pet rent. Many landlords have asked for $25-$75 extra per month per pet. Yikes. So on top of your average $2,004.00 rent per month, not including utilities, you now need to add on another $75.00. Keep in mind a pet deposit is required most of the time.
If you plan on planting some roots in San Diego, it would be ideal to buy a home but with the rent increase giving you no time to save, we will see the number of new home owners decreasing ,this is giving the landlords pricing power says Ruth Mantell in her article on Money Watch.
So now here is the question, do you pay the extra per month to live in San Diego? Will you end up blowing your budget for housing expenses?
A recent article by MSN Money reported that “The number of U.S. households that spend at least half their income on rent—the “severely cost-burdened,” in the lingo of housing experts—could increase by 25 percent to 14.8 million over the next decade.” This sets off a huge alarm for renters. Many believe that we will see a number of efficiency living homes popping up throughout San Diego County. This means smaller kitchens, bedrooms, and living quarters. Is the decreased space worth the decrease in rent? You must decide.