Why is rent in Los Angeles so high?

Does it seem like it’s getting more difficult finding a place to rent in Los Angeles?

If you own your own home, let me help answer the question for you: it’s a resounding YES!

The Census Bureau released data Thursday showing the rental vacancy rate (what’s available to rent) for Los Angeles was 2.7% in the last three months of 2015, compared to 3.8% for the 1st  three months of 2015. The decrease means that there are less apartments available to rent.

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There is a steady decline in apartment availability in the Los Angeles. In 2010, the vacancy rate was closer to 6%.

The lower the supply (apartments), the more demand ($$$)  property owners see. Some may substantially raise rents after an apartment has been vacated. This makes apartment-hunting especially tough for people who are lower-income and need housing subsidies.

Los Angeles is a great place to live because of the climate, entertainment and jobs opportunities (to name a few reasons). Try listing all the reasons why you love Los Angeles – these are the exact reasons why people keep flocking to the city of angels.

As more people occupied rentals in Los Angeles in 2015, the Census found that home ownership dropped a little bit, from 50.2% in the first quarter of 2015 to 49.1% in the fourth quarter.

 

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