The Current Trend of Renting In Los Angeles
Renting in Los Angeles seems to be the current trend. According to recent reports, Los Angeles has the highest percentage of renters out of any major city in the United States.
An article on la.curbed.com states that a recent report from the Joint Center for Housing Studies at Harvard University shows that 52% of Los Angeles residents were renters in 2012, compared to the 35% across the country. According to another researcher, the younger population in LA also plays a factor in the amount of renters versus buyers.
The article goes on to state, “Rents in Los Angeles are shooting up–they’re now 5.9 percent above their pre-recession peak in the county–largely because of high housing prices and low rental stock.” It appears that the recession has slowed the development of new rental properties and caused many homeowners to sell their homes and move back into a rental.
The article on la.curbed.com also says that researchers have found that rent is increasing and people’s income is decreasing. It states, “Nationwide, rents went up six percent between 2000 and 2012, while renters’ income fell 13 percent, and more than half of US renters are now spending more than the recommended 30 percent of income on rent (that’s an all-time high).” The la.curbed.com article also mentions that research has found that people are spending less on things like food and clothing just so they can afford their rent. These rising rental costs are not only affecting renters, but the economy as well.
Whether it’s because of LA’s young population, high housing costs, lower incomes, or a combination of all three, renting in Los Angeles is on the rise.
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