Los Angeles Real Estate Market Update — 2025-2026 Outlook for Buyers & Sellers

I work every day across Santa Monica, Beverly Hills, Century City, Sherman Oaks, Encino, and beyond helping homeowners and buyers navigate the L.A. market. If you’re thinking of buying or selling, here’s my latest take on what’s happening, what it means for you, and how to make it work in your favor.

Current Market Snapshot: Prices, Pace & Trends

Across the City of Los Angeles, the median home price sits around $1.05 million, about

7 percent higher than last year. County-wide, prices average near $915,000, roughly

3 percent above 2024.

On the Westside, one of the city’s most desirable regions, the median sold price in April 2025 was about $1.52 million (+1.1% Year Over Year), rising to $1.63 million by September 2025 (+9.6% Year Over Year). These numbers confirm what many of us see daily — values remain strong, though growth has settled into a steadier rhythm after several high-volatility years.

For sellers, homes still move when priced strategically. For buyers, while prices remain elevated, the frenzied multiple-offer environment of 2021–2022 has eased. There’s more time to think, negotiate, and inspect before signing.

Affordability: The Market’s Key Pressure Point

Affordability continues to challenge both first-time and move-up buyers. Higher mortgage rates, combined with sustained home values, have reshaped what many can qualify for.

Take a $1 million home as an example: at 6.5% interest instead of 3%, the monthly payment can be roughly $1,800–$2,000 higher. Even well-qualified borrowers now find themselves adjusting budgets or exploring different neighborhoods to stay within comfortable limits.

For sellers, that means fewer buyers stretching beyond their means. Pricing, presentation, and flexibility now determine how quickly a property sells and how close it lands to the asking price.

Smart Strategies for Today’s Buyers

• Know your real numbers. Get pre-approved early and review total monthly costs, not just purchase price.

• Focus on long-term value. Look for areas where price-per-square-foot remains reasonable or where upgrades can add equity over time.

• Negotiate with clarity. Buyers now have room to ask for repairs, credits, or flexible closing timelines — use that leverage thoughtfully.

• Consider creative trade-offs. A slightly smaller home, townhouse, or location shift may help you enter the market sooner.

• Have your team lined up. Lenders, inspectors, and your agent should be ready so you can act fast when opportunity knocks.

Key Moves for Sellers in 2025-2026

• Price realistically. Overpricing can stall momentum. Correctly priced homes generate more interest and stronger final offers.

• Stage to stand out. Even simple refreshes — paint, lighting, curb appeal — help buyers picture themselves in the space.

• Watch nearby comps. Inventory and pricing trends can shift quickly across L.A.’s micro-markets.

• Plan your next step early. Coordinate timing if you’ll be buying after selling; rate swings and limited inventory can affect your move-up plan.

• Market your home’s true strengths. Highlight location, upgrades, outdoor space, walkability, schools, and lifestyle features that justify value.

Balanced, Not Bubbled

Despite speculation, Los Angeles is not showing signs of a bursting bubble. Supply remains tight, population and employment trends are stable, and buyer demand for quality homes persists.

Most economists forecast modest appreciation for 2025–2026 — perhaps 2%–5% annually — depending on interest rates and regional inventory.

Certain sectors, like condos or ultra-luxury properties, may move slower or require deeper negotiation. But well-located single-family homes continue to perform strongly. Think of this as a balanced market — not overheated, not collapsing — just more measured and thoughtful.

Final Thoughts

Whether you’re buying or selling on the Westside, in the Valley, or across Greater L.A., success today is about realistic expectations, clear strategy, and expert guidance.

• Buyers: You now have room to breathe — use it to make smart, informed decisions.

• Sellers: You can still achieve excellent results if you price right and present beautifully.

  
  

If you’d like a personalized home-value review or buyer consultation, I’d be happy to discuss how these trends apply to your goals. Let’s make your Los Angeles real-estate move a smart one.

Michel Bron | Bron Realty Group | Los Angeles, CA www.BronRealtyGroup.com  | (310) 467-8042