State report: California utility prices rising 51% faster than national average

(The Center Square) – California utility prices have increased 51% more than then national average, while California rents have increased 21.6% less than national average, according to a new inflation report from the state Legislative Analyst’s Office on price changes since January 2020.

Overall inflation in California remains 7.3% lower than the United States average since January 2020, largely due to lower housing inflation. Rent costs nationwide grew 25.9%, compared to 20.3% for California.

One major factor in California’s lower rent increases is the state population, as California continues to have the highest level of net out-migration of jobs in the country.

According to an analysis of U.S. Census data from the Orange County Register, California lost a net 268,052 residents in 2023, which is 73,814 fewer than in 2022. Assuming a similar rate of improvement in population loss, California could be on track to lose a net of 210,000 residents this year.

Additionally, IRS data reveals individuals moving to California are poorer than those moving out, further limiting how much landlords can raise rents.

Story continues

TRENDING NOW

LATEST LOCAL NEWS