The metro area ranked 11th among U.S. cities with the largest rent decreases, driven by a wave of new multifamily deliveries that has pushed vacancy rates to 15-year highs.
Apartment rent prices across San Diego County have declined over the past year, with one-bedroom units falling nearly 6 percent and two-bedroom rentals dropping approximately 8 percent, according to data from Zumper’s March 2026 National Rent Report. The San Diego metropolitan area ranked 11th among the 100 U.S. cities surveyed for the most significant rent decreases.
The shift is driven primarily by increased supply. Rental listings across the county rose approximately 15 percent over the past 12 months, with roughly 6,400 units currently available through realtors, according to Brian Bazinet of Compass Real Estate, cited in an NBC San Diego report. Bazinet indicated that renters are finding more options and slightly better prices, particularly in areas such as Chula Vista, Imperial Beach and San Diego’s eastern communities.
The data aligns with broader trends tracked by commercial real estate analytics firm CoStar, which reported that San Diego County’s apartment vacancy rate reached 5.7 percent by late 2025, the highest level since 2009, compared to a historic low of 2.64 percent in 2021. Downtown San Diego experienced the steepest annual decline at 1.4 percent, with average rents falling to $2,087 per month, according to CoStar data.
The vacancy surge is the product of a sustained multifamily construction cycle. San Diego County saw approximately 6,200 multifamily units delivered in 2025, with another 4,000 units scheduled for completion in 2026, according to Northmarq data. That volume far exceeds the historical average of roughly 3,000 net move-ins annually over the past five years.
According to Zumper’s director of communications, Crystal Chen, larger and newer apartment buildings, particularly in downtown San Diego, are taking longer to lease and are offering concessions such as free rent periods to attract tenants, NBC San Diego reported. Many of the new developments are institutional-grade projects with resort-style amenities that have intensified competition, particularly for older properties with fewer upgrades.
Despite the recent correction, San Diego remains one of the most expensive rental markets in the country. The median one-bedroom rent currently stands at $2,200, while the county average exceeds $2,900, according to Zumper data. Bazinet noted that renters willing to look inland can generally find lower prices, with costs declining as one moves east from coastal neighborhoods.
The median rent for a 1- and 2-bedroom apartment in San Diego declined by 5.6 percent and 7.5 percent, respectively, and of the top 20 most expensive rental markets nationally, only one city saw a steeper decline in one-bedroom rents, according to KPBS, citing the Zumper report.
Affordability remains a significant concern in the region. Economic pressures, including elevated gas prices and broader cost-of-living increases, are influencing both renters and property owners. The premium that residents pay for the region’s climate and lifestyle — sometimes referred to as the “sunshine tax” — continues to support rent levels that, even with recent declines, remain well above national averages.
