California real estate expert discusses falling rents, AI wealth impact on housing

July 15, 2026 - 02:32

California real estate investor Josh Altman recently spoke with Stuart Varney about two major shifts hitting the state's housing market: falling rents in Los Angeles and the surprising influence of artificial intelligence wealth on property values in San Jose. Altman noted that Los Angeles is seeing a noticeable decline in rental prices, which he attributes to a normalization of national trends after years of overheated demand. Landlords who once commanded sky-high rates are now adjusting to a more balanced market, where tenants have more options and bargaining power.

But the story is different in San Jose, the heart of Silicon Valley. Altman pointed out that the explosion of AI-generated wealth is driving up home prices in that region. Tech workers and entrepreneurs cashing in on the AI boom are pouring money into real estate, pushing values higher even as other parts of California cool off. This creates a stark contrast within the same state: one area struggling with softening rents, another seeing a new wave of price inflation fueled by cutting-edge technology. Altman emphasized that these trends highlight how localized the housing market can be, with tech innovation directly reshaping affordability and demand in specific pockets of California.