Archive for February, 2017

Home » February 2017

San Diego County Apartments in 2017

The San Diego regional economy remains healthy, posting its 5th straight year of positive job growth, with unemployment currently at only 4.2%. The regional apartment market remains strong for investors — with rents forecasted to have sustained growth of 3%-5% and vacancy rates forecasted to hold steady at 5% county-wide in 2017 — due to high demand for rental housing. Buyer demand remains strong as investors and 1031 exchangers search for both turnkey and value-add properties. Interest rates have increased by about ½ of 1% since the 2016 election, though lenders continue to have a strong appetite for loans secured by multi-family assets. Still, expect rising interest rates to result in rising capitalization rates and downward pressure on apartment values moving forward.

Read more