California, USA – The cost of renting a home in California remains among the highest in the nation, keeping pressure on households already struggling with the state’s high cost of living. While rent growth has slowed compared to the pandemic years, prices continue to outpace the national average.
Recent housing data shows the average rent in California is more than 40% higher than the U.S. median. Cities like San Francisco, Los Angeles, and San Diego remain some of the most expensive rental markets in the country. In San Francisco, a one-bedroom apartment typically costs over $3,000 per month, while Los Angeles and San Diego average between $2,500 and $3,000. Even inland regions such as Sacramento and Fresno, once considered affordable, now report average monthly rents of $1,800 or more.
Experts point to California’s housing shortage as the primary driver of high rental costs. Strict zoning laws, expensive construction, and limited supply in coastal areas have kept rents elevated. Meanwhile, the state’s strong job market in technology, entertainment, and healthcare continues to attract new residents, increasing competition for available units.
For renters, the affordability crisis is severe. Nearly half of California renters are considered “cost-burdened,” spending more than 30 percent of their income on housing. Some households spend over 50 percent, leaving little for other basic needs. This strain is also linked to the state’s growing homelessness crisis, the largest in the country.
Local and state governments have introduced rent control measures and new housing policies aimed at boosting supply. Governor Gavin Newsom has pledged to build 2.5 million new homes by 2030, though progress has been slow.
Looking ahead, analysts say rents are likely to remain high, though growth may ease as remote work encourages more people to move to suburban or inland areas. For now, California renters continue to face one of the most competitive and expensive housing markets in the United States.