San Jose Multifamily Market Report

High-wage renters drive strong rent growth. The multifamily market in San Jose is showing notable strength, including sub-3.5 percent vacancy and rent growth three times the U.S. pace amid steady renter demand and limited new supply. As the only metro with a median household income above $180,000 but also a median home price near $2 million, the market is heavily influenced by the performance of the local tech sector. Continued investment in AI and technology is benefiting many highly educated, high-income younger professionals who are willing to pay a premium for amenity-rich or well-located apartments.