Having slipped under $3,600 in August, the weighted average asking rent for an apartment in San Francisco has just dropped to under $3,400 a month, which is down nearly 6 percent over the past month alone (having dropped closer to 3 percent a month over the prior quarter), down over 20 percent on a year-over-year basis and nearly 25 percent below a 2015-era peak, driven by a sharp increase in vacancy rates (which had briefly waned earlier this month but has since started ticking back up).
As such, the average asking rent for an average apartment in the city, which measures 2.4 bedrooms when counting a studio as having one, is now 18 percent ($725 a month) cheaper than just seven months ago, with the average asking rent for a one-bedroom in the city having just dropped to around $2,800 a month (which is down from closer to $3,700 at peak).
At the same time, offers of complimentary rent and cash concessions haven’t waned, driving effective rents down even more.
And a we noted earlier this month, rents in Oakland are now dropping as well, with the average asking rent for an apartment in Oakland having just dropped to under $2,500 a month (versus nearly $3,000 a month at peak), which is down nearly 6 percent over the past month as well.
We’ll keep you posted and plugged-in.