East Bay rental demand is heating up, buyers are moving, and major events are about to supercharge the market.
Big Events = Big Opportunity
The Super Bowl and the FIFA World Cup are coming to the Bay Area — and that means increased revenue, visibility, and demand across the region. San Francisco’s ongoing safety improvements and new business activity are already creating positive ripple effects into the East Bay rental market.
Rental Market: Tighter Than You’d Think
We recently turned over a unit in January — traditionally one of the slowest months to lease. We held an open house on January 10th, drew 14 touring groups, received 4 ready-to-move applicants, and ended up raising the rent by over $100.
A few factors driving this:
- More companies are requiring employees back in the office (hybrid model is the norm)
- New apartment construction has dramatically slowed, reducing supply
- As weather improves, expect vacancy rates to drop further
Pro tip: If you need to attract a tenant quickly, offer a temporary rent reduction rather than permanently lowering the rent. This applies to both new and existing tenants and protects your long-term income.
New Listing Alert: 5-Unit Building Near Grand Ave, Oakland
A five-unit building just two blocks from Grand Avenue — walking distance to shopping and restaurants — is coming to market in January. The owners have done fresh updates: new windows, new balconies, new decks, and fresh paint. Priced at approximately a 5.7 CAP rate.
Buyer demand for multi-unit buildings in the East Bay remains strong. Reach out if you’d like details.
Sales Market: Sellers Are Still Winning
Buyers are competing on well-located, well-maintained properties — and strong offers are still coming in at Pre-Covid income valuations. A recent Oakland fourplex went into contract at list price with a short, clean close.
The Fed’s recent rate cuts have lowered monthly mortgage payments, which means:
- Buyers are more aggressive and willing to pay more
- Sellers in good locations with stable rents are fielding serious offers
If you’re thinking about selling in the next 6–12 months, now is a good time to start the process.
Thinking About Capital Gains? You Have Options
Two common strategies for deferring taxes on a sale:
- Delaware Statutory Trust (DST) — a passive, diversified real estate investment that qualifies for tax deferral
- 1031 Exchange — swap into a like-kind property and defer capital gains
Reach out if you want to dig into either option.
Market Outlook
With rates easing, demand rising, and supply constrained, the East Bay apartment market is set up well for 2026. Whether you’re holding, buying, or considering a sale — now is a good time to get clarity on where you stand.
Looking forward to a strong year ahead. – John Caronna
Questions about your property’s value, a potential sale, or filling a vacancy? Get in touch.