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City Report · CA

Morgan Hill

Pop. 45,425·57th most expensive in California·Morgan Hill rents are up 9.5% over the past year
Median rent (all units)
$3,772/mo
Year-over-Year
+9.5%
Month-over-Month
+3.0%
vs US Median
+$1,807
Rising (Monthly)
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Most AffordableMost Expensive
Morgan Hill · $3,772
More expensive than 97% of US cities · National median $1,965/mo
Rent Reality Score
42/100
Fairly priced
OverheatedFairGreat value

Rents are 4% above what Morgan Hill's 10-year trend predicts — running hotter than its own history.

Actual rent
$3,772/mo
Expected by trend
$3,623/mo
The Rent Reality Score compares today's median rent to where Morgan Hill's own long-run trajectory projects it should be. See the full rankings →
Medians by bedroom

Rent by unit size

Studio
$2,150
1 BR
$2,430
2 BR
$2,820
3 BR
$3,610
4 BR+
$3,990
Research median
$2,820/mo

Bedroom estimates are gross rents that include essential utilities (electricity, water, gas, sewer, trash).

Rent trends

12-month history

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Last updated: July 20, 2026

Annual cost
$45,264/yr
At $3,772/mo median
Rent Market Meter
Strong Landlord's Market
Renter's MarketBalancedLandlord's Market
Rents are up 9.5% year-over-year. Expect competition, and move quickly to lock in terms.
Based on rent-price momentum (+9.5% YoY, +3.0% MoM), not inventory.
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Demographics

Who lives here

Morgan Hill, CA is majority owner-occupied, has a large share of families with children, has a median income above the national average, 46.8% of residents hold a bachelor's degree or higher.

Population
45,425
Median income
$163,920
Median age
39
Renters
28.5%
Age distribution
26.4%
18.5%
27.1%
12.9%
15.1%
Under 1826.4%
18–3418.5%
35–5427.1%
55–6412.9%
65+15.1%
Gender
48.9%
51.1%
Male48.9%
Female51.1%
Race & ethnicity
43.6%
35.9%
17.2%
White43.6%
Black2.9%
Hispanic35.9%
Asian17.2%
Education (25+)
16%
28.9%
46.8%
No HS diploma8.3%
HS diploma16%
Some college28.9%
Bachelor's+46.8%
Housing tenure
71.5%
28.5%
Owner71.5%
Renter28.5%

Source: U.S. Census Bureau · ACS 2024 5-Year Estimates

2021 vs 2026

How Morgan Hill, CA has changed in 5 years

Rent
$2,879 → $3,772
up 31.0%
Income
$139,161 → $163,920
up 17.8%
Population
45,267 → 45,425
up 0.3%
Renter share
27.4% → 28.5%
+1.1 pts
Bachelor's+
44.3% → 46.8%
+2.5 pts
Median age
38.5 → 39
+0.5 yrs

Across the past five years, the going rent in Morgan Hill, CA has shifted from $2,879 to $3,772, up 31.0% since 2021. Census figures show median household income at $163,920 today, compared with $139,161 five years earlier. Because rent grew faster than wages over the same span, the affordability picture has tightened relative to 2021. Bachelor's-degree-or-higher attainment moved from 44.3% to 46.8% across the same window. The combined trend lines point to a market that has changed measurably from where it stood in early 2021.

Community

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View Morgan Hill rent history (2015–2026) →
Salary vs rent

Can you afford rent in Morgan Hill on your salary?

At $3,772/mo, how Morgan Hill rent compares to typical pay (30% rule).

By apartment size

Morgan Hill rent by bedroom count

Median rent for each apartment size in Morgan Hill. Click any size for full breakdown.

Local insights

Tips for renters in Morgan Hill

About renting in Morgan Hill, CA

Last updated: July 20, 2026

The median rent in Morgan Hill is $3,772/mo as of July 2026. A studio apartment averages $2,150/mo while a 2-bedroom runs $2,820/mo. One-bedroom apartments average $2,430/mo and 3-bedroom units go for $3,610/mo.

At 28% of local median household income ($163,920/yr), Morgan Hill ranks as affordable compared to the national benchmark of 30%. Rents have increased 9.5% over the past year.

FAQ

Frequently asked questions

Is Morgan Hill an affordable city for renters?

Morgan Hill is considered affordable for renters. At $3,772/mo, rent takes approximately 28% of the local median household income ($163,920/yr). The standard benchmark is 30%. Morgan Hill falls comfortably within that range.

How much income do you need to rent in Morgan Hill?

To keep rent at or below 30% of gross income, you would need to earn at least $151,000/year (~$73/hour full-time) to afford the median rent of $3,772/mo in Morgan Hill. The local median household income is $163,920/yr, meaning the typical Morgan Hill household meets that threshold.

Is rent going up or down in Morgan Hill?

Rent in Morgan Hill has increased 9.5% over the past year as of July 2026, putting upward pressure on renter budgets.

How does Morgan Hill rent compare to other cities in California?

Morgan Hill is one of the pricier cities in California for rent, ranking #57 out of 387 tracked cities at $3,772/mo.

Which nearby cities are cheaper to rent in than Morgan Hill?

Several nearby cities have lower median rents than Morgan Hill ($3,772/mo): Gilroy ($3,082/mo), Watsonville ($3,257/mo), San Jose ($3,479/mo).

What percentage of Morgan Hill residents rent vs. own?

According to Census data, approximately 28.5% of Morgan Hill households are renters, while 71.5% are owner-occupied. Morgan Hill leans toward homeownership, which can mean a smaller rental inventory.

How does Morgan Hill rent compare to the national average?

Morgan Hill's median rent of $3,772/mo is $1,807 (92%) above the US national median of $1,965/mo. Within California, it ranks #57 out of 387 tracked cities.
Income Affordability
28%
AFFORDABLE

At $3,772/mo, rent takes ~28% of Morgan Hill's median household income ($163,920/yr). The standard benchmark is 30%.

Morgan Hill 28%Benchmark 30%
State income tax1–13.3%
Run the Morgan Hill affordability calculator →
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Neighborhoods

Estimated from ZIP-level data

Schools nearby

Public schools near Morgan Hill, CA

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