San Francisco has been dethroned as the most expensive area for renters in California. The dubious honor, according to the National Low Income Housing Coalition, now goes to Santa Cruz.
The Coalition’s 2023 Out of Reach Report names Santa Cruz-Watsonville as the most expensive metro for renters in the entire country. The necessary “housing wage” for a two-bedroom rental in Santa Cruz is $63.33. A lower wage would require a household to spend over 30% of its income on rent.
Statewide, a household needs to earn $42.25 per hour to afford a two-bedroom without spending more than 30% of income on housing.
According to the report, the most expensive areas for renters in California are:
1. Santa Cruz-Watsonville MSA
2. San Francisco HFMA
3. San Jose-Sunnyvale-Santa Clara HMFA
4. Salinas MSA
5. Santa Maria-Santa Barbara MSA