Costa Mesa, California, nestled in the heart of Orange County, is a vibrant city known for its eclectic mix of culture, proximity to stunning beaches, and thriving economic opportunities. With a population of around 112,000 and a prime location just minutes from Newport Beach and major freeways like the 405 and 55, it’s no surprise that Costa Mesa has become a hotspot for real estate investment, particularly in the rental market. Whether you’re an investor looking to capitalize on steady rental demand or a property manager seeking the next big opportunity, choosing the right neighborhood is key to maximizing returns. In this blog post, we’ll dive into the best neighborhoods in Costa Mesa for rental properties, exploring what makes each area unique, the rental trends, and why they stand out in this competitive market as of April 10, 2025.
Why Invest in Costa Mesa Rental Properties?
Before we explore specific neighborhoods, let’s consider why Costa Mesa is such an attractive destination for rental investments. The city blends urban sophistication with suburban charm, offering residents access to world-class shopping at South Coast Plaza, a burgeoning arts scene with the Segerstrom Center for the Arts, and outdoor recreation at nearby beaches and parks. Its proximity to major employment hubs in Irvine, Newport Beach, and even Los Angeles (about an hour away) makes it a magnet for young professionals, families, and students attending nearby institutions like Orange Coast College.
Rental demand in Costa Mesa remains strong due to its high quality of life and limited housing supply, which keeps vacancy rates low and rental prices robust. As of early 2025, the average rent for an apartment in Costa Mesa hovers around $2,650 per month, with studios starting at $2,100 and two-bedroom units reaching upwards of $3,300, depending on location and amenities. For single-family homes, rents can range from $5,000 to over $10,000 for larger or luxury properties. These figures reflect a market that’s both competitive and lucrative, making neighborhood selection critical for success.
1. Eastside Costa Mesa: Charm Meets High Demand
Eastside Costa Mesa is often cited as one of the city’s most desirable neighborhoods, and for good reason. Known for its tree-lined streets, diverse architectural styles ranging from Spanish Revival to modern builds, and a strong sense of community, this area appeals to a wide range of renters. Its location—bordered by the 55 Freeway, Irvine Avenue, and Newport Boulevard—offers easy access to both Newport Beach and the heart of Costa Mesa, making it ideal for professionals and families alike.
Rental properties here, particularly single-family homes and duplexes, command premium prices due to the neighborhood’s proximity to top-rated schools, trendy 17th Street with its hip eateries and boutiques, and recreational spots like Upper Newport Bay Nature Preserve. The median home value in Eastside Costa Mesa is around $1.5 million, but rental rates for a two-bedroom home can easily fetch $4,000-$5,000 per month, while smaller apartments or condos range from $2,500-$3,500. The tight housing supply (vacancy rates hover around 2-3%) ensures consistent demand, and the area’s walkability adds to its allure for renters who value convenience.
Investors should note that Eastside’s charm comes with a higher entry cost, but the steady appreciation and reliable rental income make it a solid long-term bet. Focus on properties with outdoor space or modern updates to attract tenants willing to pay top dollar.
2. South Coast Metro: Urban Living with Cultural Flair
South Coast Metro is Costa Mesa’s cultural and commercial hub, making it a prime spot for rental properties aimed at urban-minded tenants. Anchored by South Coast Plaza, one of the largest shopping centers in the U.S., and the Segerstrom Center for the Arts, this neighborhood attracts a mix of young professionals, creatives, and affluent renters seeking a cosmopolitan lifestyle. Its northern border along Sunflower Avenue and proximity to the 405 Freeway also make it a commuter’s dream.
The rental market here leans heavily toward apartments and townhomes, with average rents for a one-bedroom unit around $2,500 and two-bedrooms climbing to $3,500-$4,000. High-rise complexes like 580 Anton offer luxury amenities—think saltwater pools, fitness centers, and pet parks—that justify higher rents and appeal to tenants willing to pay for convenience and status. Single-family homes are less common, but when available, they can rent for $6,000 or more, especially if updated.
South Coast Metro’s rental strength lies in its ability to draw tenants who work in nearby office towers or retail, as well as those who prioritize entertainment and dining options. Investors can capitalize on this by targeting multi-unit properties or condos with strong HOA management, ensuring low vacancy rates and steady cash flow.
3. Westside Costa Mesa: Emerging Hotspot with Coastal Vibes
Westside Costa Mesa is undergoing a transformation that’s turning heads among investors. Once an industrial and working-class area, it’s now a cultural hub attracting young professionals, artists, and families with its eclectic vibe and proximity to the beach. Bordered by Newport Boulevard and the 405, Westside offers a mix of renovated warehouses turned into trendy lofts, new townhome developments, and charming cottages—all within a short drive of Newport Beach.
Rental prices here are slightly more affordable than Eastside or South Coast Metro, with one-bedroom apartments averaging $2,200-$2,800 and single-family homes ranging from $3,500-$5,000. The neighborhood’s appeal is boosted by hotspots like 19th Street’s dining scene, breweries, and Canyon Park’s hiking trails. Tenants here often seek outdoor amenities like backyards or proximity to parks, making properties with these features particularly lucrative.
Westside’s growth potential is a major draw for investors. As more upscale developments pop up, property values and rents are trending upward, offering a chance to buy in before prices peak. Focus on fixer-uppers or properties near emerging commercial zones to maximize ROI.
4. Mesa Verde: Family-Friendly Stability
Mesa Verde is a serene, suburban neighborhood that’s a haven for families, making it a reliable choice for rental properties with long-term tenants. Located in northwest Costa Mesa, it’s known for its lush parks, golf course proximity, and well-maintained homes built largely in the 1960s and ‘70s. The area’s quiet streets and strong community feel appeal to renters seeking stability over urban hustle.
Single-family homes dominate Mesa Verde’s rental market, with three-bedroom houses averaging $4,500-$6,000 per month. Apartments and condos are less common but can fetch $2,500-$3,500 for two bedrooms, especially in complexes with pools or clubhouses. The neighborhood’s proximity to Fairview Regional Park and top schools like Mesa Verde Elementary adds to its family-friendly allure, ensuring low turnover and consistent demand.
For investors, Mesa Verde offers predictability. Tenants here tend to stay longer, reducing vacancy periods, and the area’s steady appreciation (median home values around $1.2 million) supports long-term growth. Target properties with large lots or modern kitchens to stand out in this competitive niche.
5. Central Costa Mesa: Affordable and Accessible
Central Costa Mesa strikes a balance between affordability and convenience, making it a sleeper hit for rental investments. Sandwiched between Eastside and Westside, this area offers a mix of residential options—apartments, condos, and modest homes—catering to a diverse tenant pool, including students, young professionals, and small families. Its central location near the 55 Freeway and Newport Boulevard ensures easy access to all parts of the city.
Rents here are more budget-friendly, with one-bedroom apartments averaging $2,000-$2,500 and single-family homes ranging from $3,000-$4,500. The neighborhood’s proximity to Orange Coast College drives demand for student housing, while nearby parks and local shops appeal to families and singles alike. Properties with in-unit laundry or off-street parking tend to rent quickly.
Central Costa Mesa is ideal for investors seeking cash flow over rapid appreciation. Its lower entry costs (median home values around $900,000-$1 million) and steady rental demand make it a practical choice for building a portfolio without breaking the bank.
Key Considerations for Investors
When choosing a neighborhood in Costa Mesa for rental properties, consider these factors:
- Tenant Demographics: Eastside and Mesa Verde cater to families, South Coast Metro to professionals, Westside to trendsetters, and Central to a mixed crowd. Match your property type to the target audience.
- Amenities and Updates: Modern kitchens, outdoor space, and parking are in high demand across all neighborhoods.
- Market Trends: Rents are rising citywide, but Westside and Central offer the most growth potential, while Eastside and South Coast Metro provide stability.
- Accessibility: Proximity to freeways, beaches, and employment centers boosts appeal.
Final Thoughts
Costa Mesa’s rental market is a goldmine for savvy investors, with neighborhoods like Eastside Costa Mesa, South Coast Metro, Westside Costa Mesa, Mesa Verde, and Central Costa Mesa offering distinct advantages. Whether you’re after premium rents, emerging growth, or stable cash flow, there’s a corner of this city that fits your goals. As of April 10, 2025, the market remains competitive, so act fast—properties in these top neighborhoods don’t stay available for long. Start your search today, and you could be reaping the rewards of Costa Mesa’s rental boom in no time.
What’s your take? Have you invested in Costa Mesa, or are you eyeing a specific neighborhood? Let’s keep the conversation going in the comments!
