Los Angeles
Market Overview
Metro Population:
8.9 M
Median Household Income:
$66,700
Median Household Income:
5.40%
Median Home Price*:
$990,000
Median Monthly Rent*:
$3,000
Big Picture Highlights
Los Angeles, CA is a bustling and diverse metropolis located in Southern California, known for its entertainment industry, global trade, and cultural landmarks. It has a dynamic economy with major industries including technology, fashion, healthcare, and international trade, and is home to several Fortune 500 companies. Despite its sprawling size, Los Angeles has a strong sense of community and culture that is reflected in its many neighborhoods and landmarks.
There's a Lot To Love About Los Angeles
Los Angeles, California has a diverse and robust economy with a GDP of approximately $710 billion as of 2021, a median household income of $75,900, a job growth rate of 1.8%, an unemployment rate of 6.1%, and a cost of living index slightly above the national average.
The city is home to several Fortune 500 companies and major corporations, including Disney, Warner Bros., Kaiser Permanente, and Northrop Grumman, creating ample job opportunities and a thriving business environment.
The Port of Los Angeles is the largest container port in the United States and a major hub for global trade, contributing significantly to the city's economy and serving as a gateway for imports and exports.
Why Invest Here?
Purchasing real estate in Los Angeles can offer numerous benefits to both homeowners and investors. Firstly, Los Angeles is a global hub for entertainment, technology, and commerce, providing a vibrant and dynamic business environment. This has led to a strong demand for housing, making it an attractive market for real estate investors seeking steady appreciation and rental income. Additionally, Los Angeles is a highly diverse and culturally rich city, with a plethora of amenities, attractions, and activities. This makes it an appealing location for residents seeking a high quality of life, as well as investors looking to attract tenants. Furthermore, the city's mild Mediterranean climate and proximity to the ocean and mountains make it an ideal place for outdoor recreation and a year-round tourist destination. Finally, Los Angeles has a track record of steady real estate appreciation, providing a strong potential for long-term investment gains. Overall, purchasing real estate in Los Angeles offers a combination of economic opportunity, cultural richness, and lifestyle benefits.
Trends
LOS ANGELES, CALIFORNIA
REAL ESTATE MARKET STATISTICS
AVERAGE HOME PRICE
$997,000
390%
ABOVE
NATIONAL AVERAGE
NATIONAL AVERAGE $202,000
AVERAGE MONTHLY RENT
$3,100
110%
ABOVE
NATIONAL AVERAGE
NATIONAL AVERAGE $1427
10 YEAR EQUITY GROWTH
146%
200%
FASTER
NATIONAL AVG.
NATIONAL AVERAGE 48.5%
9 YEAR POPULATION GROWTH
.25%
95%
BELOW
NATIONAL AVG.
NATIONAL AVERAGE 5.3%
1 YEAR JOB GROWTH
3.3%
3%
ABOVE
NATIONAL AVG.
NATIONAL AVERAGE 3.2%
Los Angeles Trends & Statistics
The Los Angeles real estate market has experienced steady growth in property values, despite the economic impact of the COVID-19 pandemic. According to Zillow, the median home value in Los Angeles is approximately $997,000, which represents a 14.9% increase from the previous year. The median rent price in Los Angeles is approximately $3,100 per month, which represents a 5.7% increase from the previous year.
The housing market in Los Angeles has been characterized by high demand and low inventory, which has resulted in a competitive seller's market with multiple offers and bidding wars being common. However, there has been some increase in inventory in recent months, which may ease some of the competition. The luxury real estate market in Los Angeles has also seen significant growth, with a record number of sales of homes priced at $10 million or more in 2021.
Another trend in the Los Angeles real estate market is the shift towards more suburban areas, as residents seek larger homes with more outdoor space in response to the pandemic. This has led to increased demand for homes in areas such as the San Fernando Valley, Pasadena, and Long Beach.
Overall, the Los Angeles real estate market remains highly competitive and dynamic, with strong demand and limited inventory driving up prices. However, there are still opportunities for buyers and investors in certain areas and property types, especially as the market continues to evolve in response to changing economic and social conditions.
Data Sources:
https://www.rockethomes.com/real-estate-trends/ca/los-angeles
https://www.rockethomes.com/real-estate-trends/ca/los-angeles
https://factfinder.census.gov/
https://www.opendatanetwork.com/entity/1600000US0644000/Los_Angeles_CA/
Employers
Read What People are Saying About L.A.
One of the "Coolest Cities in America" for its thriving arts and culture scene, diverse food options, and natural beauty. - Forbes
One of the "Best Trips in 2021" for its vibrant Latino culture, street art, and booming culinary scene. - National Geographic
One of the "Best Places to Live in the U.S." - U.S. News and World Report
Travel + Leisure has ranked Los Angeles as one of the "Best Cities in the U.S."
Disclaimer: The information provided on this page is for educational purposes only. Altus IG makes no warranty or representation as to the accuracy, completeness or reliability of this information. Please be advised that this content may contain errors, is subject to revision at all times, and should not be relied upon for any purpose. Under no circumstances shall Altus IG be liable to you or anyone else for damage stemming from the use or misuse of this information.
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