San Diego Multifamily Figures Q3 2024

—Occupancy increased by 10 bps Q-o-Q but fell by 80 bps Y-o-Y.

—Net absorption, while 30.5% short of Q2’s figure, surpassed the decade’s quarterly average by 16.4%.

—Completions, following a record-breaking 2023, continued to pullback; Q3’s 788 new units landed 35% below the four-quarter norm.

—The average rent per unit expanded by 0.4% Q-o-Q, but amidst the supply-driven pressure compressed by 1.7% Y-o-Y.

—The multifamily investment market showed signs of a turnaround in Q3 as sales volume rose to $713 million, the highest quarterly sum of 2024 and a 52% increase from Q2.

—The rise in volume was a product of both high-priced trades and escalating prices: Four sales topped $100 million, while the average price per unit was $405,380, the second-highest quarterly figure since interest rates began to rise in 2022.