In the last three and a half years, Oakland rents have skyrocketed by 71%! Much of this is undoubtedly due to the migration of San Franciscans who have decided to make the move to the East Bay because of the even higher rents in San Francisco. However, there is more to it than just this. Oakland has been experiencing a bit of a Renaisance in the past few years. I'm sure many of you have heard the analogy by now that San Francisco is Manhattan and Oakland is the new Brooklyn. There is some real truth to this and it's not just a result of booming real estate value, but more of a causality of this actually.
As more and more people are leaving the ridiculousness of the San Francisco market, they are making the move to Oakland and with them have come new restaurants, beer gardens, start-ups, cafes, etc. As a realtor, I have seen this first hand. At least half over my buyer clients this year were San Franciscans looking to own a home or condo be it to raise a family, have a yard, or simply to have a place to call their own while still attainable. This newfound desirability of Oakland and it's surrounding areas has put tremendous upward pressure both on rents and real estate values.
You can read more about this Zillow report at this Biz Journal Article.
East Bay Modern Real Estate