San Benito County Leads California in Housing Growth Amid Statewide Construction Slowdown

Between April 2020 and January 2025, California added approximately 560,000 housing units, according to estimates from the State Department of Finance. While this figure falls short of Governor Gavin Newsom's initial annual target, certain counties have outpaced the state's overall growth rate.

San Benito County, located just south of San Jose, experienced a 9% increase in housing stock during this period—the highest rate in the state. This growth, amounting to fewer than 2,000 new units, was concentrated in the city of Hollister, which has become an increasingly popular bedroom community for Silicon Valley workers.

In contrast, Marin County saw a growth rate of just over 1%, the lowest among California counties with at least 100,000 homes. High living costs have contributed to the displacement of low-income residents and declining school enrollments in the area.

Alameda County outperformed the statewide average with nearly 5% growth, driven by new developments in cities like Oakland, Emeryville, and Dublin. Meanwhile, counties such as Plumas and Trinity experienced a decrease in housing stock due to devastating wildfires in 2021.

Statewide, multifamily housing units grew by nearly 7%, adding approximately 240,000 units. However, rising insurance costs and a volatile rental market have slowed the pace of such developments. Inland counties like San Joaquin and Riverside have prioritized single-family homes, benefiting from more affordable and available land. The ongoing demand for homeownership continues to drive construction in California's inland regions, even as the state faces broader challenges in meeting its housing goals.

Source:

• "Here’s where California is building the most housing." San Francisco Chronicle, June 1, 2025.