Westside Market report | SEPTEMBER 2026

**The market report reflects the housing statistics from the previous month.

PRICING

The average home value in Los Angeles is currently around $949,500, down approximately 0.7% year-over-year, while the median sale price remains just above $1.02 million. Home values have largely stabilized after modest declines earlier in the year, with most industry forecasts continuing to project 1–3% appreciation through the remainder of 2026. Performance continues to vary significantly by neighborhood, price point, and property type, with well-located homes in desirable school districts, walkable communities, and lifestyle-driven neighborhoods consistently outperforming the broader market.

Market Conditions

By August 2026, the Los Angeles housing market remains balanced, with buyers and sellers operating on more equal footing than at any point in recent years. Buyer demand continues to be supported by steady employment and limited long-term housing supply, but affordability remains a challenge due to elevated mortgage rates. Homes that are priced strategically, professionally marketed, and move-in ready continue to generate strong activity and, in many cases, multiple offers. However, overpriced listings are taking longer to sell, requiring more price adjustments and negotiation. Buyers have become increasingly value-conscious, carefully comparing inventory before making offers, while sellers must rely more heavily on accurate pricing and presentation to achieve premium results.

Inventory

Housing inventory continued to improve through August, providing buyers with more choices than they had throughout much of the past several years. New listings remain higher than last summer, contributing to a healthier balance between supply and demand. Even with this increase, inventory remains below long-term historical averages due to ongoing zoning restrictions, elevated construction costs, labor shortages, and the continued mortgage "lock-in effect," where many homeowners are reluctant to give up historically low interest rates. These factors continue to limit overall housing supply, particularly in highly desirable Westside and coastal neighborhoods.

Interest Rates

Mortgage rates edged slightly higher during August, with most 30-year fixed-rate loans ranging between approximately 6.5% and 6.8%. While rates remain below the highs experienced in 2023, financing costs continue to impact affordability and purchasing power. Buyers remain focused on monthly payment rather than purchase price alone, leading many to negotiate seller credits or rate buy-downs. Most economists expect mortgage rates to remain above 6% for the remainder of 2026, with only gradual improvement anticipated unless inflation cools more meaningfully.

Buyers vs. Sellers

Los Angeles continues to function as a collection of distinct micro-markets rather than a single market. Prime neighborhoods with limited inventory continue to favor sellers, while areas with greater housing supply have shifted toward a more buyer-friendly environment. Buyers now have increased negotiating leverage compared to the past several years, benefiting from expanded inventory, longer marketing times, and greater opportunities to negotiate pricing and terms. For sellers, success increasingly depends on competitive pricing, high-quality marketing, and thoughtful property presentation rather than relying solely on limited inventory. Overall, August 2026 reflects a healthy and balanced market where well-prepared buyers and sellers can both achieve favorable outcomes when guided by realistic expectations and informed strategies.