Los Angeles Housing Market: Trends & Prices

On this page:

    Los Angeles Real Estate Market Overview

    (Last Updated – 4/2023)

    The City of Dreams has been continuously hyped over the years thanks to its eternally bustling film industry. The idea that Los Angeles offers glamor and excitement will probably never fade, though there are many reasons to appreciate LA aside from the silver screen.

    You’re just hours (if not minutes) away from beaches, mountains, and theme parks, as well as countless museums and restaurants. And who could forget the sun? On average, the city receives 284 sunny days a year — which could be part of why as of March 2023 the median sale price in Los Angeles was $980,000.

    If you’re planning to go to Hollywood, get ready to spend a lot of time in the car. LA was named the sixth worst city for traffic in the United States. Still, the average one-way commute of the nearly 4 million residents is only around 31 minutes.

    According to the 2021 census, 36.9% of Los Angeles residents had bought property in the city, so it seems they find the traffic a fair tradeoff for all the opportunities the city has to offer.

    $980,000

    Median Sale Price

    $615

    Avg. Price Per Sq. Foot

    44 days

    Avg. Time on Market

    Los Angeles Housing Market Forecast

    If you’re looking to make an offer on a home in Los Angeles, you may have to move quickly, as popular homes sell in only 23 days. Most listed homes sell in roughly 48 days.

    Los Angeles home prices vary greatly by neighborhood. Overall, prices dropped 4.4% in March 2023 compared to last year, largely due to higher mortgage rates. However, experts predict that home prices could rise again, but at a slower rate than before.

    Housing market forecast chart

    *Graph taken from Zillow as of 3/2023

    How Hot Is the Los Angeles Housing Market?

    Homes in Los Angeles are currently selling at list price on average, with some getting multiple offers. Popular homes can sell for roughly 3% above the list price in around 23 days.

    The Los Angeles real estate market has cooled down in the past year after hitting record highs during the pandemic. Home prices dropped as interest rates rose. Since inventory remains low, experts say it remains a seller’s market, and LA homes may still see multiple offers. However, average prices could rise due to moderate demand and tight inventory.

    The cost of living is high in Tinseltown, at roughly 50.7% above the national average, according to the Council for Community and Economic Research’s 2022 Cost of Living Index. That is to be expected in the second-largest metro area in the United States, though, and will likely not deter motivated buyers who want to call LA home.

    Recommended: Cost of Living in California (2023)

    Demographics of the Los Angeles Market

    From Beverly Hills to Malibu, you’ll find plenty of career and recreational opportunities in greater LA. The beautiful weather combined with the allure of Hollywood makes this one of the most exciting places to live in the country.

    Almost 4 million people call Los Angeles city home, and about 66.6% of people work in this sprawling city, according to 2021 census data. LA isn’t generally pedestrian-friendly, and the city even ranked the highest in car ownership in 2019. Be prepared to sit in some traffic, but the entertainment, food, and art offerings will be worth it.

    Recommended: Guide to Buying, Selling, and Updating Your Home

    Median Income: $69,778

    Median Age: 36.2

    College Educated: 36.2%

    Homeowners: 36.9%

    Married: 41.4%

    Westwood

    Take advantage of all the benefits of living near a college campus without paying the pricey tuition. Westwood is home to UCLA, and therefore offers great restaurants, shops, and stores — many of which are within walking distance.

    Quick Facts

    Population:

    49,440

    Median Age:

    22.7

    Housing Units:

    19,738

    Bike Score:

    55

    Walk Score:

    69

    Transit Score:

    66

    Average Household Income:

    $111,831

    Westwood Housing Market

    Housing prices in Westwood are higher than Los Angeles’, with the current median sale price of $1.29 million. Home values in this neighborhood were down in March 2023 by 4.8% compared with last year.

    On average, houses are currently on the market for 64 days and sell for roughly 2% below list price.


    Median Sale Price

    $1,290,000

    Average Price Per Square Foot

    $787


    Downtown

    Downtown Los Angeles is a great location to live and work, especially if you’re passionate about the arts. Enjoy the chic Arts District and all of the galleries and museums it has to offer. Not to mention, you’ll be right next to Union Station, which makes getting around a breeze.

    Quick Facts

    Population:

    61,887

    Median Age:

    39.6

    Housing Units:

    36,321

    Bike Score:

    79

    Walk Score:

    93

    Transit Score:

    98

    Average Household Income:

    $65,900

    Downtown Housing Market

    Home values in Downtown LA are down compared with last year, and this area is not considered very competitive. Houses sell for roughly 2% below list price and stay on the market for an average of 72 days.


    Median Sale Price

    $588,000

    Average Price Per Square Foot

    $606


    Silver Lake

    This hip area of Los Angeles is known for its indie music scene, modern restaurants, and fun bars.

    Young people will love this neighborhood, but families will also find some good schools to choose from.

    Quick Facts

    Population:

    30,408

    Median Age:

    36.4

    Housing Units:

    13,089

    Bike Score:

    51

    Walk Score:

    81

    Transit Score:

    54

    Average Household Income:

    $119,913

    Silver Lake Housing Market

    The average sale price in Silver Lake was up 13% in a year and is currently well above the Los Angeles average. Homes sell for about 5% above list price and stay on the market about 31 days.


    Median Sale Price

    $1,630,000

    Average Price Per Square Foot

    $1.06k


    Venice

    Why not relax and head to the beach? If you love the surf and sand, then Venice might be the neighborhood for you.

    This area has maintained the arty, hippie vibe it’s known for while modernizing at the same time. You’re guaranteed to have a blast people-watching at the boardwalk each weekend.

    Quick Facts

    Population:

    27,469

    Median Age:

    39

    Housing Units:

    17,410

    Bike Score:

    88

    Walk Score:

    83

    Transit Score:

    52

    Average Household Income:

    $179,353

    Venice Housing Market

    Venice has been a popular neighborhood for decades in Los Angeles, and the housing market remains somewhat competitive.

    Current home prices are down 7.2% compared with last year, however the price per square unit is up 1.3% since last year. The average house sells for 3% below list price and stays on the market for 57 days.


    Median Sale Price

    $1,800,000

    Average Price Per Square Foot

    $1.07K


    Sherman Oaks

    If you’re intrigued by glamorous, old-Hollywood architecture, Sherman Oaks might be a great neighborhood for you.

    You’ll cross paths with iconic roads like Mulholland Drive and Ventura Boulevard. Plus, the area has 1930s charm, perfect for putting down roots.

    Quick Facts

    Population:

    67,945

    Median Age:

    38

    Housing Units:

    32,409

    Bike Score:

    52

    Walk Score:

    62

    Transit Score:

    44

    Average Household Income:

    $142,420

    Sherman Oaks Housing Market

    The Sherman Oaks housing market is considered somewhat competitive. In March 2023, prices were only up 0.4% since last year. Average homes sell for about list price and stay on the market 44 days.


    Median Sale Price

    $1,400,000

    Average Price Per Square Foot

    $686



    SoFi Home Loans

    It’s easy to see why Los Angeles remains attractive for homebuyers. There’s a wide array of neighborhoods to choose from, whether you’re young and single or have a family to look after.

    If you think LA could be your home sweet home, then you may need to consider different mortgage loans during your home buying process.

    If you’re buying a home or refinancing an existing mortgage, SoFi can help you make the process as quick and painless as possible.

    Learn more


    SoFi Loan Products
    SoFi loans are originated by SoFi Bank, N.A., NMLS #696891 (Member FDIC). For additional product-specific legal and licensing information, see SoFi.com/legal. Equal Housing Lender.

    SoFi Mortgages
    Terms, conditions, and state restrictions apply. Not all products are available in all states. See SoFi.com/eligibility for more information.

    Third-Party Brand Mentions: No brands, products, or companies mentioned are affiliated with SoFi, nor do they endorse or sponsor this article. Third-party trademarks referenced herein are property of their respective owners.
    SOHL20010