High home prices pressure apartment market

Southern California rents expected to climb

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The high price of homes and a limited supply of new apartments will lead to “substantial rent increases” and low vacancy rates in Southern California, according to a forecast by the Richard S. Ziman Center for Real Estate at the University of California, Los Angeles, Anderson School of Management.

The Ziman Center forecast notes that 18 percent of Californians can now afford the median-priced single family home; this will inevitably sustain a high demand for apartments, said Stephen D.