While asking rents for an apartment in San Francisco have declined since the beginning of the year, which was exacerbated by the pandemic and accelerated significantly in May, rents in Oakland remained largely stable until June. At that point, the weighted average rent for an apartment in town was just under $ 2,700 a month, still up around 2 percent year over year.
But as we pointed out back in July, there were signs of weakness.
And with the weighted average asking rent for an Oakland apartment just dropping below $ 2,400 a month, asking rents in the city are down 19.6 percent year-over-year, and are about 21 percent below the 2016 high, closer to 3,000 USD per month, with the median asking rent for a bedroom in town just dropping below USD 2,000 per month (versus closer to USD 2,500 at its peak).
At the same time, listing activity for apartments in Oakland, which had remained relatively stable in the second quarter of the year, has nearly doubled since the end of June, increasing by over 60 percent compared to the same period last year.
And while the surge in listing activity in Oakland is still lagging behind the even bigger surge in San Francisco, as has the relative decline in rents, the gaps continue to close (with rents in San Francisco now falling an average of 23 percent).