If you’re new to Orange County real estate, you will quickly realize that not all rental markets are cut from the same cloth. Very few property owners have seen an animal quite like the Orange County, CA rental market.
With a population over 3 million (and growing), Orange County has one of the hottest rental markets in the country.
In this blog, we discuss the basics of Orange County’s rental market in 2023.
Orange County – California’s Most Competitive Rental Market
Orange County is the third largest county in all of California. And it’s one of the most desirable – with its pristine beaches, urban hubs, work opportunities, and engrossing entertainment and culture. People just love living here!
So, it’s no wonder why rental vacancy rates have recently reached historical lows.
Orange County’s multifamily rental market currently has a vacancy rate of just 4.3% (compared to the national average at 6.8%). And for every vacant Orange County apartment, 11 potential residents apply.
Responding to the Rental Shortage
To combat the rental shortage, Orange County is prioritizing residential development.
Right now, 16 new multifamily properties are being built. The developments will create 5,570 new residential units (about 2.2% of the current inventory).
When these complexes are built, Orange County’s vacancy rate should increase. But further development will likely remain difficult due to high construction costs.
Orange County Rental Prices in 2023
What are renters paying in Orange County, CA?
Rental prices are averaging around $2,610 per month. On the high end, Class A apartments are going as high as $4,500, and lower quality Class C apartments average about $1,950 per month.
Orange County Short-Term Rental Limits
In an effort to encourage more investors to rent out their properties long-term, most cities in Orange County place limits – or entirely prohibit – short-term rentals of any kind.
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