California Rental Markets Show Varied Vacancy Rates and Speeds

Data from ApartmentList reveals that California’s rental markets vary significantly in how quickly vacant units find tenants. An analysis of six major California metropolitan areas shows that, overall, rentals are moving faster than the national average in recent months. This trend highlights the competitive nature of the state’s housing market as of November 2023.

Vacancy Trends Across California

In the past six months, vacant properties in California have rented out more swiftly compared to the national pace of 31 days, which is two days quicker than the same period last year. Notably, these units are sitting empty for an average of three days longer than the seven-year average, indicating a slower market overall.

The state’s varied metropolitan areas illustrate a wide range of rental speeds. In particular, Sacramento has emerged as a leader, with an average rental period of just 22 days, placing it third nationally. This figure represents a slight increase of half a day from the previous year, but it remains consistent with the state’s long-term average.

The Inland Empire follows closely at an average of 24 days, which is two days longer than last year and three days above the typical pace. Meanwhile, the combined area of Los Angeles and Orange County registers 29 days, ranking eleventh nationally. This marks a two-day decrease from the year prior but shows a one-day increase from the seven-year average.

Regional Comparisons and Insights

Both San Francisco and San Diego also report similar averages of 29 days, with San Francisco seeing a six-day drop compared to last year and San Diego experiencing a two-day decline. San Jose rounds out the analysis with an average of 30 days, which is five days slower than a year ago, yet two days below the long-term average.

In comparison to other regions, Columbia, South Carolina, and Virginia Beach, Virginia have the fastest rental markets, with units renting in just 20 days. In contrast, Tucson, Arizona, holds the record for the slowest rentals at 43 days.

Across California, the typical vacant unit rented in 28 days over the last six months, placing the state tenth among 34 states analyzed. While this marks a three-day decline from the previous year, it is one day faster than the seven-year average. The fastest state for rentals is Michigan at 22 days, whereas Utah is the slowest at 37 days.

As the rental landscape continues to evolve, prospective tenants in California must remain vigilant. Understanding local market dynamics can significantly impact their housing decisions, especially in a state known for its competitive rental environment.