San Francisco rental prices hit a plateau at the end of 2015, but local analysts are predicting that the pause in rent increases won't last for long. A regional manager at real estate investment company Marcus & Millichap told the San Jose Mercury News that he sees rents going up somewhere around 7 percent across the Bay Area in 2016 following double-digit jumps in San Francisco, the East Bay, and the Peninsula during 2015.
Despite the prediction of higher prices, the Marcus & Millichap manager noted that increases in 2015 were less than expected, perhaps because rents have "just reached the ridiculous level." Ridiculous or not, rents are likely to keep going up thanks to continued job growth in the Bay Area. Even last year's slowdown in rent prices didn't make it all around the Bay Area. Rental website Zumper, which obsessively tracks prices for rentals on its platform, showed a jump of 6.3 percent in the price of one-bedrooms in Oakland in the final quarter of the year, bumping it up to become the fourth most expensive city in the country for renters.
· Whoa! SF's Median Rent Fell for the Second Straight Month [Curbed SF]
· Bay Area Rentals: More Increases Likely in 2016 [San Jose Mercury News]
· National Rental Report: January 2016 [Zumper]