LOS ANGELES (CBSLA) — There’s no end in sight for Southern California’s housing crisis after a new study found that rent increases will continue into 2019.
The new report from USC and Beacon Economics shows the robust economy and accompanying employment numbers, combined with a lull in homeownership, will force monthly rents to increase over 2017 levels by as much as $149 in Orange County and $136 in Los Angeles County.READ MORE: The Cosmopolitan In Las Vegas To Pay $1 Million In Cash Bonuses If 80% Of Workers Get Vaccinated
“It’s certainly no surprise to anyone – developers, landlords, tenants and elected officials – that available units are becoming more scarce and more expensive in Southern California,” USC Lusk Center Director Richard Green said in a statement. “As employment and wages improve in the region, homeownership remains stagnant. This combination is a key stressor in the availability and cost of apartments and has an increasing impact on the local economy.”READ MORE: National Health Foundation Hosts Free COVID-19 Vaccine Clinic For Pico-Union Residents
Surrounding counties won’t escape the pain on the first of the month either – average monthly rents are expected to go up $124 in the Inland Empire, $121 in San Diego County, and $98 in Ventura County.MORE NEWS: Restraining Order Issued Against Atlas Metal; Mountain Of Scrap Metal Towering Over Jordan High School Called A 'Public Nuisance'
The report concludes that rent growth is outpacing income growth at a level that is not sustainable and will continue to negatively impact tenants and employers in the five regions included in the study.