A local news report outlined a new forecast released by the University of Southern California. Specifically, the USC Lusk Center forecast projects Southern California rent increases lasting through 2029 across multiple counties, detailing specific metrics for rents, vacancies, and construction activity.
In Orange County, the average rent was recorded at $2,792 in June, representing a regional high among the areas tracked in the data. Looking ahead, the Orange County average rent is expected to climb to $2,946 by June 2029. This trajectory coincides with an anticipated 40% decline in Orange County annual new housing deliveries over a three-year period. Projected annual rent growth in Orange County is anticipated to reach 1.9% through the forecast window.
In Los Angeles County, the average rent was recorded at $2,362 during June, with the Los Angeles County average rent forecast to reach $2,469 by June 2029. The Los Angeles County vacancy rate was noted at 5.6% in June, and the data points to a forecast drop in the Los Angeles County vacancy rate down to 4.87%. On the supply side, Los Angeles County apartment permits were recorded as exceeding the prior monthly average by 60% in early 2026. Projected annual rent growth for Los Angeles County is expected to reach 1.4%.
In San Diego County, apartment additions have been recorded as totaling approximately 16,000 units since late 2023. The San Diego County average rent was listed at $2,592 in June, with projected annual rent growth averaging 1.5% through 2029.
In the Inland Empire, rental unit expansion is reaching 12,300 over three years, resulting in the Inland Empire apartment stock growing by approximately 7%. The Inland Empire average rent was recorded at $2,150, with the Inland Empire projected annual rent growth averaging 2.4% through 2029.
Addressing the broader housing market conditions reflected in the data, Moussa Diop told a local news report, "Housing cannot be affordable unless we have plenty of it". Commenting further on the regional differences in the forecast, Moussa Diop told a local news report, "San Diego and the Inland Empire show that there is still hope for affordability, but meaningful gains take time and sustained development".
