Buying a home in Los Angeles, California

How much homes cost in Los Angeles

The Census Bureau’s American Community Survey (ACS) asks owners what they think their home would sell for. The median answer is not a sale price: it covers every owner-occupied home, including homes bought long ago. Our page on California home prices explains the method in detail.

Source: U.S. Census Bureau, ACS 1-Year Estimates 2024, table B25077. The 2025 estimates are scheduled for October 29, 2026.

The city median is $188,400 above the California median and more than two and a half times the national median.

Are Los Angeles prices rising?

The Federal Housing Finance Agency (FHFA) tracks repeat sales of the same single-family homes. Its purchase-only, seasonally adjusted index for the Los Angeles–Long Beach–Glendale metro division, published August 25, 2026, shows:

Source: FHFA House Price Index, quarterly purchase-only files. Changes calculated by Payotte from the published index values.

Prices in the Los Angeles area were flat over the past year, after a gain of about a fifth over five years.

Closing costs

On top of the price, buyers and sellers pay closing costs: lender fees, the appraisal, escrow and recording fees, title insurance and transfer taxes. Several depend on the loan and the providers you choose, so there is no single official figure. The rules that apply to a sale in the city of Los Angeles, who usually pays each item and a worked example are in our guides to closing costs in California and transfer tax in California.

Property tax in Los Angeles

California’s property tax rests on Proposition 13, approved by voters on June 6, 1978. The State Board of Equalization (BOE) summarizes the rules in its March 2025 overview (Publication 29):

• The rate. The tax rate is 1 percent, plus the amounts needed to pay voter-approved bonded indebtedness and debt incurred before July 1, 1978. That second part depends on the bonds that apply to each property, so the total rate varies by address.
• The value. A property is reassessed to current market value only when it changes ownership or new construction is completed. This is called the base year value. After that, increases in the base year value are generally limited to 2 percent a year.
• The supplemental bill. After a purchase, the county places the new value into effect right away through a supplemental assessment, prorated for the rest of the fiscal year, instead of waiting for the next January 1 lien date.
• The homeowners’ exemption. The Constitution requires a $7,000 reduction of taxable value for an owner-occupied principal residence. You file once with the county assessor; February 15 is the deadline for the full exemption.
• Payment. Regular secured tax bills are mailed by November 1 and paid in two installments: the first becomes delinquent after December 10, the second after April 10. Late payment carries a 10 percent penalty.

A worked example

Take a purchase at the city median, $947,900, by a buyer who lives in the home:

• Taxable value after the homeowners’ exemption: $947,900 − $7,000 = $940,900.
• The 1 percent base levy: $940,900 × 1% = $9,409 a year.
• Add the rates for voter-approved debt that apply to the property. Your tax bill lists them.

For the full bill and how to appeal a value, see our California property tax guide. To pay property tax through your monthly mortgage payment, read our guide to escrow accounts.

Natural hazards and insurance

Natural hazards affect what you must be told before you buy and what your insurance covers. Our page on natural hazards and insurance in California explains the official hazard maps, the disclosures and the insurance options. The seller’s side is covered in seller disclosure in California.

Buying a rental property: the Rent Stabilization Ordinance

If you buy a home with tenants, or plan to rent one out, check whether the units fall under the city’s Rent Stabilization Ordinance (RSO). According to the Los Angeles Housing Department (LAHD), as of September 2026:

• The RSO generally applies to rental properties first built on or before October 1, 1978, including apartments, duplexes, two or more single-family dwellings on the same parcel, condominiums and townhomes, and accessory dwelling units. For condos and townhomes, the rent amount is not regulated for tenancies that started after December 31, 1995.
• Rent may be raised once every 12 months by the allowable percentage. LAHD’s bulletin sets it at 3 percent from July 1, 2026, through June 30, 2027. Since February 2, 2026, the increase can no longer include an extra percentage for utilities.
• New owners have 45 days to register their rental property with LAHD, and every unit rented or offered for rent must be registered each year.
• Evictions must rest on a legal reason. An owner or immediate family member moving in is a “no-fault” reason, and no-fault evictions require relocation assistance to the tenant.

Properties outside the RSO are still covered by the city’s Just Cause Ordinance, LAHD notes; it can confirm whether a unit is subject to the RSO. Statewide rules are on our page about tenant rights in California.

California guides for Los Angeles buyers

• Closing costs in California
• Property tax in California
• First-time buyer programs in California
• Community property and buying a home
• The steps of buying a home