Los Angeles

CAGreater Los Angeles

Real Estate Market Analysis

Q3 2025 Report
$876,067 (June 2025)
Median Home Price
~3.8 million (city), ~13 million (metro area)
Population
~$74,000 (citywide, 2024-2025)
Median Income
Los Angeles Unified School District (LAUSD) rating: 5/10 (GreatSchools, varies by neighborhood)
School District Rating

Market Overview

Property Values

$876,067 (June 2025)
Median Home Price
$590 (June 2025)
Price per Sq Ft
+3.8% year-over-year (June 2025)
YoY Change

Market Performance

Days on MarketMedian 29 days (June 2025, inferred from regional trends)
Market TypeBalanced, shifting toward buyer-friendly with rising inventory and slower sales
Months of Supply4.0 months (early 2025, up from 3.2 months in 2024)

Sales Activity

Sales VolumeSales down 7.9% YoY (May 2025); 4,854 homes for sale in June 2025 (+9% MoM)
Metro AreaGreater Los Angeles
Population~3.8 million (city), ~13 million (metro area)

Economic Indicators

Employment & Growth

Unemployment Rate~5.1% (Los Angeles County, Q2 2025, estimated from recent trends)
Job Growth Rate~1.2% YoY (2025, estimated)
Median Household Income~$74,000 (citywide, 2024-2025)

Major Employers

  • Kaiser Permanente
  • University of California, Los Angeles (UCLA)
  • Walt Disney Company
  • Cedars-Sinai Medical Center
  • Los Angeles Unified School District

Demographics

~3.8 million (city), ~13 million (metro area)
Population
36.5 years
Median Age
Flat to slight decline (2024-2025, due to affordability and out-migration)
Population Growth
33% bachelor's degree or higher
Education Level

Family Composition

Diverse; mix of singles, families, and multi-generational households

Key Industries

Entertainment & MediaHealthcareTechnologyEducationTourismTrade & Logistics

Education

School District

Los Angeles Unified School District (LAUSD) rating: 5/10 (GreatSchools, varies by neighborhood)
District Rating

Top Schools

  • Granada Hills Charter High
  • Harbor Teacher Preparation Academy
  • L.A. Center for Enriched Studies

Higher Education

  • UCLA
  • USC
  • Cal State LA
  • Loyola Marymount University

Infrastructure & Development

Major Projects

  • LAX modernization and expansion (completion phases through 2028)
  • Metro D Line (Purple) subway extension (Wilshire Blvd, ongoing)
  • Regional Connector Transit Project (opened 2024)

Transportation

  • Metro light rail expansions
  • Bus rapid transit corridors
  • Bike lane network expansion

Planned Developments

  • Downtown LA mixed-use towers
  • Hollywood and Arts District residential projects

Lifestyle & Amenities

Recreation

  • Griffith Park
  • Santa Monica Beach
  • Runyon Canyon

Dining & Entertainment

  • Downtown LA Arts District
  • Hollywood nightlife
  • Koreatown restaurants

Cultural Attractions

  • The Getty Center
  • LACMA
  • Walt Disney Concert Hall

Investment Analysis

Investment Opportunities

  • Rising rental demand in core neighborhoods
  • Value-add multifamily investments
  • Short-term rental potential in tourist zones

Growth Outlook

Moderate appreciation expected; price growth slowing as inventory rises and affordability pressures persist

Market Risks

  • Affordability crisis limiting buyer pool
  • Strict rent control and eviction laws
  • Sluggish sales volume and rising inventory

Rental Market

Strong demand, but rent growth constrained by local incomes and regulation

Marketing Intelligence

Target Demographics

  • Millennials (age 28-43)
  • Dual-income professionals
  • International investors
  • Move-up buyers

Marketing Channels

  • Social media (Instagram, TikTok)
  • Zillow/Realtor.com
  • Local real estate events

Pricing Strategies

List slightly below recent comps to drive interest and avoid price reductions

Common Objections & Response Strategies

Objection: Homes are too expensive for local incomes.

Response Strategy:

Highlight down payment assistance, creative financing, and neighborhoods with better value.

Objection: High mortgage rates make monthly payments unaffordable.

Response Strategy:

Showcase adjustable-rate or buydown options, and compare rent vs. buy scenarios.

Objection: Concerns about future price drops.

Response Strategy:

Share data on long-term appreciation and rental demand as a hedge.

Professional Recommendations

1

Educate buyers on creative financing and assistance programs.

2

Advise sellers to price aggressively and invest in staging.

3

Leverage digital marketing and video to reach remote buyers.

4

Monitor local policy changes on rent control and development.

5

Network with relocation and corporate HR departments for inbound clients.

Competitive Analysis

Comparable Markets

  • San Francisco
  • San Diego
  • Seattle

Market Positioning

Premium West Coast market with high barriers to entry and resilient long-term demand

Competitive Advantages

  • Global city with diverse economy
  • Strong rental demand
  • Cultural and lifestyle amenities

Price Comparison

Lower median price than San Francisco ($1.3M+), higher than San Diego ($850K) and Seattle ($800K)

Investment Metrics

3.8%–4.5% (multifamily, 2025)
Cap Rates
3.5%–4.2% gross yield (2025)
Rental Yields
~25–28 (2025)
Price-to-Rent
Challenging for single-family; better for value-add multifamily and ADUs
Cash Flow
2%–4% annual appreciation expected (2025–2026)
Appreciation

Buyer Journey Insights

First-Time Buyers

Face affordability hurdles; often rely on FHA/VA loans, down payment assistance, and family support.

Move-Up Buyers

Motivated by life changes; often leverage equity but cautious about higher rates and payments.

Downsizers

Seek low-maintenance condos/townhomes, prioritize walkability and amenities.

Investors

Focus on multifamily, ADUs, and short-term rentals; careful underwriting needed due to tight margins.

Relocators

Attracted by job opportunities and lifestyle, but may be deterred by cost of living.

This city analysis was generated using comprehensive market data and AI intelligence.

Market conditions change rapidly - consult with local real estate professionals for the most current information.

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