San Diego Multifamily Market Report
Catalysts for Future Economic Expansion Preserve Strong Apartment Fundamentals
High-paying job growth supports leasing. Following a strong second half of last year, San Diego ranks as one of the nation’s tightest rental markets. From July to December, more than 4,300 units were absorbed in the metro, placing year-end unit availability at its lowest point since 2003. Hiring activity is to credit. Driven by the professional and business services sector, 52,500 positions were added during the six-month span, allowing San Diego to shed the fewest number of jobs among Southern California metros last year. Vaccination efforts and the county’s downward-trending coronavirus case rate have the potential to restore indoor business operations and bolster tourism in the near term. These occurrences would further boost hiring in the leisure and hospitality sector, which comprises workers with a high propensity to rent.