(831) 655-7840 info@MontereyRentals.com

America’s Rental Housing Crisis

America’s Rental Housing Crisis: Insights from the Joint Center for Housing Studies of Harvard University

Today, I had the opportunity to participate in a Zoom presentation led by the Joint Center for Housing Studies of Harvard University, titled “Deteriorating Affordability: An Update on America’s Rental Housing 2024.” The discussion highlighted the growing challenges in rental affordability across the nation—an issue that is no longer confined to high-cost states like California but has now become a nationwide crisis.

America’s Rental Housing Crisis: Insights from the Joint Center for Housing Studies of Harvard University

Key Takeaways from the Presentation

🔹 Rental Affordability at an All-Time Low

The United States has reached a new peak in rent unaffordability. While California renters and landlords have long faced some of the highest housing costs in the nation, the affordability crisis has now spread across all 50 states. Today, nearly 22 million households—approximately half of all renters—are cost-burdened, meaning they spend 30% to 50% of their income on rent.

🔹 Who is Most Affected?

The youngest renters (under 25) and the oldest renters (over 65) experience the highest cost burdens. More than half of Black and Hispanic renters are rent-burdened. Even among fully employed households, rental costs continue to outpace earnings

🔹 A Nationwide Struggle—From Urban Centers to Rural Communities

Rent affordability is no longer just a challenge in major metropolitan areas. Over one-third of renters in every state are now cost-burdened, with particularly severe impacts in:

  • The West, where high housing costs persist.
  • The South, where lower housing costs are offset by equally low wages.
  • Rural areas, where 40% of renters are now struggling to afford rent.

🔹 Rising Costs and Declining Availability

The increasing cost of rent is not just a result of inflation but also of declining rental stock. Several factors have contributed to this trend:

  • The demolition of older, more affordable units to make way for new developments.
  • Landlords exiting the market due to heightened regulatory pressures.
  • Rising construction costs, including both labor and materials, leading developers to prioritize luxury housing with higher profit margins over affordable units.

The median percentage of income spent on rent has now reached 31%, and alongside rising costs for food, energy, and healthcare, many renters are struggling to cover essential living expenses. A staggering 17% of renters reported falling behind on rent at some point in 2024, highlighting the precarious financial situation many households face.

Where is the Rental Market Headed?

📉 Rents Are Stabilizing—But Demand Still Outpaces Supply
After the sharp increases following the pandemic, asking rents have plateaued in many areas. However, demand for rental housing continues to exceed supply. Despite over 600,000 multifamily units being constructed last year, the need for housing remains critical—partially fueled by the increasing difficulty of purchasing a home in today’s market.

⚖️ Legislative and Policy Efforts Are Increasing
State and local governments are stepping up efforts to address the crisis, recognizing that rental affordability is no longer just a market trend but a policy imperative. However, economic uncertainty looms large, with experts hesitant to make definitive predictions about the future of the housing market.

A Call to Action: The Need for Smart Solutions

In 2024, California legislators declared housing a human right—a powerful statement, but one that lacked concrete plans for how to ensure access to affordable housing for all. To truly address this crisis, policymakers must prioritize increasing housing supply rather than relying on restrictive measures such as rent control, which often exacerbates shortages.

The path forward requires streamlining development processes, reducing regulatory barriers, and investing in sustainable, affordable housing solutions. Instead of discouraging new construction, we must create policies that incentivize environmentally responsible development while expanding rental options for all income levels.

The affordability crisis is a challenge we cannot afford to ignore. It’s time for bold action to ensure that safe, stable housing remains within reach for all Americans.

Jan Leasure, Managing Broker
www.MontereyRentals.com 
831-402-1765

Top 5 Things to Know About Renting Property on the Monterey Peninsula

Renting property on the beautiful Monterey Peninsula is an exciting opportunity for both tenants and property owners. With its breathtaking coastline, charming communities, and strong rental demand, the region offers plenty of benefits.

Renting property on the beautiful Monterey Peninsula is an exciting opportunity for both tenants and property owners. With its breathtaking coastline, charming communities, and strong rental demand, the region offers plenty of benefits. However, navigating the rental market here requires an understanding of local trends, regulations, and best practices. Whether you’re a homeowner looking to rent out your property or a tenant searching for the perfect place to call home, here are the top five things you should know:

1. Demand Is High, but So Is Competition

The Monterey Peninsula is a highly desirable place to live, thanks to its stunning scenery, temperate climate, and proximity to world-class attractions. As a result, demand for rentals remains strong year-round. However, competition can be intense, especially for well-maintained properties in prime locations like Pacific Grove, Carmel, and Pebble Beach. Renters should be prepared to act quickly when they find a suitable home, while landlords should focus on presenting their properties in the best possible condition to attract quality tenants.

2. Local Rental Regulations Vary by City

Each city within the Monterey Peninsula—Monterey, Pacific Grove, Carmel-by-the-Sea, and others—has its own set of rental laws and regulations. Some areas have strict short-term rental restrictions, while others require permits or specific lease terms. For example, Pacific Grove has a limited number of short-term rental licenses, and Carmel-by-the-Sea prohibits most short-term vacation rentals altogether. If you’re a property owner, understanding these local laws is crucial to avoiding fines and ensuring compliance.

3. Seasonal Rental Trends Impact Pricing and Availability

The rental market on the Monterey Peninsula experiences seasonal fluctuations, particularly in coastal areas where tourism is a major factor. During peak travel months (spring and summer), short-term rental rates can be higher, while long-term leases tend to be more stable year-round. Homeowners looking to maximize rental income should consider these trends when deciding whether to offer short-term or long-term leases. Tenants, on the other hand, may find better deals in the off-season when demand is lower.

4. Property Maintenance and Amenities Matter

Due to the coastal climate, rental properties in the Monterey Peninsula require regular maintenance. Salt air, moisture, and seasonal weather changes can contribute to wear and tear, making upkeep essential for landlords. Properties with modern upgrades, energy-efficient features, and well-maintained outdoor spaces tend to attract higher-quality tenants. Renters often prioritize amenities such as in-unit laundry, updated appliances, and private outdoor areas—features that can set a rental apart from the competition.

5. A Property Management Team Can Make a Big Difference

Whether you’re a homeowner renting out your property or a tenant looking for a reliable landlord, working with a professional property management company can simplify the process. A knowledgeable management team handles everything from tenant screening and lease agreements to maintenance and compliance with local laws. At Monterey Bay Property Management, we specialize in helping property owners maximize their rental investment while ensuring tenants have a seamless rental experience.

Final Thoughts

The Monterey Peninsula offers a unique and dynamic rental market, full of opportunities for both landlords and tenants. By understanding local regulations, market trends, and best practices for property maintenance, you can make informed decisions that benefit your rental experience. If you’re looking to rent out your property or find a rental home in the area, Monterey Bay Property Management is here to help.

Need expert advice on renting in Monterey? Contact us today at www.MontereyRentals.com to learn more!

Jan Leasure, Managing Broker
www.MontereyRentals.com 
816 Wave Street
Monterey, CA 93940
831-402-1765

Carmel Mid Valley Vacation Rental – Story Road #BookDirect

Valley View Home – Story Road – Mid Carmel Valley


3000 sq. ft. | 3 Bedroom | 2 ½ Bath | Sleeps 6 (3K) | Max. Occupancy 6

BOOK DIRECT – BOOK NOW

Enter through ornate, arched wooden doors and pass through a fern-lined corridor to a sunny patio with a Koi pond and bubbling fountain, fruit trees, flowers, and majestic views of Carmel Valley. This comfortable, single story Spanish style “hacienda” features Saltillo floors, plaster walls, and Mexican tile counters. The owners extensive collection of native art is on display everywhere: from hammered silver platters to colorful woven textiles and hand-painted pottery.

The home is designed around the patio and the view. The main living room (with fireplace and large TV), a small office/library, a guest room, laundry room and powder room are opposite the kitchen, which features a ceramic cooktop, two ovens, a built-in microwave and a a butcher block island.

On the other side of the dining area, there’s a second small sitting room with a fireplace, a hallway with a long loveseat, and two additional guest rooms. A bath with a stall shower is accessed via the hallway and guestroom two. The valley view master suite has a King bed, a TV in the armoire, a massage chair, and a private bath with two lav sinks, a soaking tub, and a walk in shower.

You’ll be spending considerable time outdoors, relaxing in a rocking chair, barbecuing, or dining al fresco. In the evening you can warm yourself by the wood-burning chiminea under a canopy of stars, absorbing the peace and contentment this area is noted for. And when you’re ready to leave this idyllic retreat, you’re less than five minutes away from fine restaurants and a plethora of excellent wineries and tasting rooms.

BOOK DIRECT – BOOK NOW

Carmel Highlands Ocean View Beach House – Seacliff

Carmel Highlands Ocean View Beach House – Seacliff

Carmel Highlands Ocean View Beach House - Seacliff
3280 sq. ft. | 3 Bedroom | 3 ½ Bath | Sleeps 6 (1K, 1Q, 2T) Max. Occupancy 7

Located just south of Point Lobos at Yankee Point—“Carmel’s Riviera”—this area exudes the peace and beauty the Big Sur coastline is renowned for.

The great room, in soothing shades of seafoam and dove grey, features wall-to-wall glass framing ocean panoramas. There’s a comfortable sectional with a large wall-mount TV—but with these views, we don’t know much you’ll be watching.

The adjoining dining area seats six, and there’s a bar area with a small sink and wine cubbies. The large kitchen, with painted cabinetry, granite countertops, a double oven, French door refrigerator and gas cooktop, has everything you need to create gourmet meals.

French doors lead out to the spacious deck with a table for four and a sofa with side chairs. A pathway—with strategically-placed benches—arcs to the edge of the cliff (Please exercise caution), affording even more dramatic views of the beach below.

On the main floor, the expansive master has a settee for lounging and an en suite bath with two lavs, a spa tub, walk-in shower, heated towel bars and toilet seat. The second guest room has a skylight and two twins; the third has a queen. A shared bath in the hall has a separate vanity and a deep soaking tub/shower.

A powder room is conveniently located off the foyer, and carpeted stairs lead to a mini-suite with a sofa and a daybed, a bar area with an under-counter refrigerator, a private bath with a large walk-in shower…. and views of forever.

Gated entry and double car garage. Limited cellular reception.

MORE INFORMATION & TO BOOK NOW

Available Monterey Rentals – January 8, 2015

AVAILABLE RENTALS
January 8, 2015

pg5

Cozy, 1 Bedroom 1 Bathroom
Cottage in Pacific Grove $1400/mo.

AVAILABLE Long Term Rentals

Pacific Grove Lover's Point
Views! Views! Views! Pacific Grove Lover’s Point 2 Bed and 1 Bath $2850/mo

Tuscan-Inspired Magnificent Dream Home in Gated Monterra Ranch with Monterey Bay View

Tuscan Inspired 5 Bed, 5+ Bath, 3 Car, Gated Monterra Ranch Estate

Located within the private gated community of Monterra Ranch is this Mediterranean and Tuscan inspired 2011 built estate home of over 5,300 square feet on five oak studded and scenic acres.

Ideally situated on the Monterey Peninsula, Monterra Ranch combines the best of convenience and ease of access to all area points of interest while giving residents a sense of privacy.

This home will please the most discriminating who seek high-end appointments, creature comforts, and attention to detail. From custom color, thin plaster, bull nosed walls, to the selection of stone and tile, high-end caliber building materials and finishes adorn throughout.

This home is bathed in natural light through walls of glass windows. There is a feeling of grandeur upon entering as one’s eyes soar to the vaulted wood beam ceilings above.

A total of five bedroom suites each feature private en-suite bathrooms and walk-in closets. There is a dedicated restroom for visitors. The two master bedroom suites are well placed to allow for separation of family and guests visiting. There is access to multiple private outdoor patios. The open living room-to-kitchen floor plan transitions nicely onto the backyard Travertine marble patio area as an expansion of the entertaining space.

There is a view of the blue water of Monterey Bay as it arches it way north towards Santa Cruz to be enjoyed daily. A total of four fireplaces; three fireplaces inside, and one outside on the outdoor patio area, and radiant heat, delightfully warm this space. The master chef in the family will be inspired by the showroom kitchen which features a center island demonstration and preparation area with wet bar.

A complete stainless steel appliances package includes Viking dishwasher, GE Profile dual door refrigerator with matching cabinet faces, Viking microwave, Jenn-Air six burner gas range and dual oven with pot filler and Viking ventilation hood.

Food storage is well accommodated in the spacious walk-in pantry. The wine bar is adjacent to the dedicated dining room area. There is a set of front loading LG washer and dryer, laundry sink, and cabinets in the dedicated laundry room and a second laundry room downstairs. Vehicles are put to bed in the spacious and clean three car garage.

The 168 exclusive home sites on 1,700 acres of Monterra Ranch blend the natural environment with a unique residential opportunity. While driving through Monterra Ranch sightings of soaring hawks, deer, and wild turkey are reminders that you living in a special place. This home is currently on the sales market with various flexible, and perhaps discounted, rental terms available to suit the tenant’s and owner’s needs.

Depending on the terms and conditions of the lease, Owner may temporarily remove the property from the sales market.

Please note the Owner will self manage this home upon move-in of the residents.

 Apply Online

Please contact Frank at 831-293-8720 or email info@CVRents.com  to arrange your private tour of this rare rental opportunity.

What The Locals Know–Where To Work Out

Whether we are looking to exercise while on Christmas vacation, or whether we’re planning on making regular exercise as part of our New Year’s Resolutions, there are plenty of places to exercise on the Monterey Peninsula.


Gyms:
In-Shape is a fairly new health club chain that has opened 2 locations in the Monterey Peninsula.  The Monterey facility is located at 2370 Fremont Street, Monterey, CA 93940-5407 (831) 333-1835.  The Pacific Grove facility is located at 1146 Forest Avenue, Pacific Grove, CA 93950, (831) 649-2348.  Call each facility for daily operating hours.


Monterey Sports Center is city-owned and -operated by the City of Monterey.  It’s beautiful and very affordable for drop-in, out-of-town guests, and it has a large pool area, cardio room, basketball court, weight room, exercise classes, and well-tended locker rooms.  Monterey Sports Center is located in downtown Monterey at 301 East Franklin Street, Monterey, CA 93940-3044, (831) 646-3730.  Call for daily operating hours.


Outdoors:
The Recreation Trail is a very popular destination for walkers, runners, and bikers, for this coastal trail offers gorgeous views of the Monterey Bay.  The Rec Trail goes all the way from Asilomar State Beach to Marina, so you have plenty of entry and exit points from which to choose.  Just park somewhere near the water’s edge and start your nice, long stroll.


El Estero Park has many areas of diversion for the whole family.  From walking around or paddle boating within El Estero Lake, to playing with the little ones in Dennis the Menace Park…from picnicking by the lake to skateboarding in a safety zone, El Estero Park is a popular family destination.


Monterey County’s Beaches are lovely and there’s something for everyone.  Get close to the sea lions at the Coast Guard Pier at San Carlos Beach at the foot of Cannery Row in Monterey.  Take a nice, long beach walk and dream of owning your own condo on Del Monte Beach.  Surf or body board the beaches in Seaside, but be careful of the strong current.  Paragliders and kite aficionados can be found along the windy shores of Marina’s beaches.  They’re all lovely and they all beckon you to come over for a visit.


The golf course at the end of Lighthouse Avenue in Pacific Grove is known as the Pacific Grove Golf Links, and it’s an incredible bargain considering its location by the ocean.  Rated as one of the best golf courses under $50, it’s a must-see for golfers who don’t want to pay the higher rates at Pebble Beach.
Scuba Diving is very popular around Monterey Bay, due to the fact that it’s a national marine reserve.  If you’re okay with diving in cool water temperatures from 50 – 55 degrees Fahrenheit, you’ll love this region of gorgeous dives.  Popular dive sites include Breakwater at San Carlos Beach for diving newbies, right by the Coast Guard Pier in Monday; night diving at Lovers Point in Pacific Grove; and doing the “Monastery Crawl” at Monastery Beach in Carmel–which can be extremely dangerous and is known by locals as Mortuary Beach.  The BEST diving can be found at Point Lobos in Carmel, but you’ll need to make reservations, for they only allow 15 dive teams per day.  Be warned, diving here is splendid, but DO NOT dive in poor diving conditions…regardless of how far you’ve traveled to dive here.  Dive smart!


Kayaking is tremendous fun and a great way to get some exercise on the water.  You can kayak out in Monterey Bay, or go inland down Elkhorn Slough by Moss Landing.  Either way, you are very likely to pull up close to sea birds, otters, sea lions, harbor seals, jellyfish, kelp, and fellow kayakers.


Paddle Boarding is a pretty cool new sport where a person stands up on a surf board and paddles around.  Paddle boarders get ripped abs and arms and say that it’s pretty easy once you’ve mastered balancing on the surf board.  There’s even a local paddle boarder who takes his dog along for a ride on the board.  So cool!  Paddle boarding lessons are available at Adventures By The Sea and gear is available at Monterey Bay Kayaks.


Bicycling is fun for all ages and there are plenty of places to bicycle around the Monterey Peninsula.  There are plenty of places to rent a bike if you don’t have your own, and the types of bike rides to choose from are endless.  Here is a link to several bike routes around town.  For novice bikers, choose the Recreation Trail.  For diehard mountain bikers, try some of the tougher trails up in the hills.  Just be careful of cars when you’re sharing the road–especially around blind corners or narrow mountain roadways.

What The Locals Know–Dining Out During Thanksgiving

Thanksgiving, our delightfully gut-busting national holiday is around the corner, and for a few, that means a terrifying experience in the kitchen. Not everyone has what it takes to prepare a large feast that tastes great and hasn’t gone cold before reaching the dinner table. That’s why a brave few choose to opt out of cooking during this Thanksgiving holiday and find a yummy turkey dinner at a local restaurant.

Not all restaurants are open on Thanksgiving, but here are a few worth mentioning:
Whole Foods: If you are staying in one of the lovely vacation rentals offered by Monterey Bay Property Management and want to have Thanksgiving Dinner within your rental, you may want to reserve a fully prepared Thanksgiving Meal from Whole Foods. It’ll be an easy solution that will allow you to celebrate Thanksgiving at “home”. Whole Foods is located in Monterey.
Asilomar Conference Grounds: Offering a Thanksgiving Package that includes Thanksgiving dinner. Asilomar is located in Pacific Grove.
Il Fornaio: The Italian eatery located at the NE Corner of Ocean and Lincoln Avenues in Carmel is offering Thanksgiving Dinner, and reservations are required.
Fresh Cream: With it’s French-inspired California cuisine, located at the NW Corner of Dolores and 8th Avenues in Carmel, just published its Thanksgiving Dinner menu. The menu makes our mouths water with their descriptions of roasted butternut squash soup, oven roasted turkey, sweet potato puree, savory bread pudding stuffing, and pumpkin pie. Wow! Make a reservation at Fresh Cream by contacting 831-250-7943 or dining@freshcream.com.
Monterey Plaza Hotel & Spa: Offering a 4-course Thanksgiving Dinner from 1:00 PM – 8:00 PM in their Duck Club Grill. The Duck Club Grill is in side the Monterey Plaza Hotel on Cannery Row in Monterey.
Cannery Row Brewing Company: Offering Thanksgiving Dinner and beer. They’re new, so it might be worth checking out their Thanksgiving Day efforts. Call 831-643-2722 for details.
Fandango Restaurant: Offering a special Thanksgiving Day menu. Contact them for reservations at 831-372-3456.
Chart House: Is doing something a little like Whole Foods, where they are offering a full Thanksgiving Dinner that will feed 6 – 8 people and it’s all To-Go! Or, you can eat there. Call 831-372-3362 to make your order.

Insider’s Tip: There is a little bar, tucked in the back of its row of shops in Carmel, called Ody’s Tavern, that sometimes serves up Thanksgiving dinner on the evening before Thanksgiving! It’s on San Carlos near Ocean Avenue and the building is light blue. Call them at (831) 626-6821 for directions if you get turned around.

What The Locals Know–Big Sur Half Marathon Events, November 13-14, 2010

For those who love to run and walk along our beautiful coastline, the Big Sur Half Marathon is worth checking out.  This is the 8th year of the Big Sur Half Marathon and its popularity has grown!

Here’s what to expect if you participate in the half marathon:

  • A gently rolling fast course that winds through historic downtown Monterey, along Cannery Row, and proceeds along Pacific Grove’s coastline with incredible views of the Monterey Bay.
  • An unparalleled race destination weekend.  After the race, take some time to enjoy world-class golf, a Spa afternoon, whale watching, world-class dining, shopping, wine tasting, a visit to the Monterey Bay Aquarium and much more.  Visit the Big Sur Half Marathon’s Visitor’s Guide for more options.
  • A walker friendly course that welcomes Half Marathon walkers.  Other weekend events include the Run Forrest Run 5K and the JUST RUN!®Just Kids 3K fun run, both held on Saturday, November 13th.

Insider’s Tip on Registration:  Register early to make sure you get all your ducks in a row before the big weekend!

Insider’s Tip for Non-Participants:  For those of you not interested in participating, but wish to hang out near the popular Recreation Trail and Cannery Row, keep in mind the following things:  1) It may be harder to find parking during the event.  2)  The trail may be closed to non-participants during the event.  3)  You may find more traffic congestion during the event.