Report: Oakland, San Francisco and San Jose rental markets heat up

Oakland, San Francisco and San Jose have all surged into the top 20 most sought-after rental markets in the country, according to a new report from RentCafe.

As inventory across the Bay Area dropped sharply in the first quarter, renter interest has spiked accordingly.  

Renter behavior during the apartment search phase tells two different stories. In Oakland, people are actively browsing, comparing and saving — signs that options are still out there. In San Francisco, engagement is more limited, suggesting that renters are not thrilled about the options in the city. 

Interest in Oakland is growing fast, with the city posting strong engagement numbers in the country this quarter. Specifically, page views ranked third nationally, while saved searches climbed 50% year over year — a clear indicator that apartment hunters are seriously considering moving to this California market, the report notes. 

Oakland benefits from spillover from San Francisco, as renters seek Bay Area access at more affordable price points. Plus, as remote and hybrid work arrangements normalize, renters are less obligated to live close to city offices and are choosing Oakland’s lifestyle and amenities instead, according to the report. 

In the Bay Area: 

• Available listings fell significantly in the first quarter of this year across the Bay Area — down 36% in Oakland, 39% in San Francisco and 27% in San Jose. A renewed push for back-to-office work and a surge in AI sector hiring are drawing talent into the region at a pace the rental market is struggling to keep up with.  
• In Oakland, renters checked out 24% more listings, saved 26% more properties as favorites and saved 50% more searches than they did a year ago. This indicates there are enough options on the table to compare and consider before committing. 
• San Francisco tells the opposite story. With searches, saved properties and saved searches all down, renters are finding fewer listings that match what they’re looking for.   
• In San Jose, page views rose 8% but properties saved as favorites dropped 36% — indicating that while renters are browsing actively, the available units are largely not meeting their criteria. 

According to the report, the West emerges as the most sought-after destination by renters. To find out more and other emerging trends the full report is here:  https://www.rentcafe.com/blog/rental-market/market-snapshots/rentcafe-renter-engagement-tracker/.