Year-over-year, one and two-bedroom rentals are down 14.1% and 15% respectively.
“After a two month period over summer where San Francisco’s rent price drops hit a plateau, we’ve seen another acceleration in the decrease in prices,” Zumper CEO Anthemos Georgiades said. “In the Bay Area metro report, 27 of the 31 cities had negative rent price changes, with the most expensive markets experiencing the most drastic declines.”
While San Francisco rents plummet, some surrounding areas are seeing rents increase. Livermore rent continued to be the fastest-growing, up 9.7% since this time last year. Vallejo saw rent climb 4.3%, while Concord rent increased 3.4%.
ApartmentList saw more modest drops in pricing in its most recent rental report, finding that San Francisco rents declined 1.5% in August, and have decreased by 5.6% in comparison to the same time last year.
The company also looked at migration trends in Q3 and found that 35.6% of those looking for a place to live in San Francisco are searching from outside the metro, compared to 47.2% at this time last year. For those apartment hunters looking to move away from San Francisco, ApartmentList found that San Jose is the most popular destination. Los Angeles and San Diego came in second and third, respectively.
Despite much speculation of a Bay Area exodus, ApartmentList found that the percentage of renters who are currently living in the San Francisco metro and looking to move elsewhere has remained largely stable, increasing only very slightly from 31.6 percent at this time last year to the current rate of 32.1 percent. The demand for Bay Area apartments falling, it seems, is due to the fact that the region is simply attracting fewer new residents from elsewhere, as opposed to seeing existing renters leaving the area.
ApartmentList puts median rents in San Francisco at $2,353 for a one-bedroom apartment and $2,956 for a two-bedroom. While that two-bedroom median looks low, let’s never forget it’s still far above the national average of $1,195.
“It is clear that we have not tested the floor yet,” Georgiades said. “That will only come when the state-wide eviction moratorium expires. Whereas we at Zumper do not think we’ll see anything as dramatic as San Francisco’s rents halving, we are already down 20% from peak a year ago, so this story is not over yet.”
Tessa McLean is a digital editor with SFGATE. Email her at firstname.lastname@example.org or follow her on Twitter @mcleantessa.