The Real Story Behind What’s Happening with Home Prices in Los Angeles and Beverly Hills, CA

The Real Story Behind What’s Happening with Home Prices in Los Angeles and Beverly Hills, CA | Christophe Choo at Coldwell Banker Global Luxury is Your Local Real Estate Expert

If you're following the real estate market in Los Angeles and Beverly Hills, you're likely wondering what's happening with home prices. The luxury markets in these areas are complex, with plenty of information circulating, making it hard to determine whether now is the right time to buy or sell.

As a buyer, you may be concerned about overpaying for a luxury home in Beverly Hills or Bel Air. On the other hand, if you’re thinking about selling a high-end property, you might be worried about achieving your target price. Here's a breakdown of the real story behind home prices to help you make the best decision for your real estate goals.

Home Price Growth Is Slowing, but Prices Aren’t Falling in LA and Beverly Hills

Nationally, home price appreciation is slowing, and the Los Angeles and Beverly Hills markets are no exception. While prices are still rising, they aren't climbing at the rapid pace we saw during the pandemic years. This is particularly evident in luxury neighborhoods like Holmby Hills, Sunset Strip, and Beverly Hills Post Office, where price increases are moderating.

Data from Case-Shiller highlights this shift in growth from 2023 to 2024, and while the pace of appreciation has slowed, prices aren’t falling. Even in the high-demand luxury sectors of LA, such as Malibu and Brentwood, property values are still appreciating—just at a more sustainable rate. This leveling out is beneficial for both buyers and sellers, as it creates a more balanced market.

What’s Next for Home Prices in Los Angeles and Beverly Hills?

The future of home prices depends on the balance between supply and demand, which can vary significantly across different neighborhoods in LA. For example, while there has been a slight uptick in inventory in areas like Bel Air, it’s still not enough to meet the high demand for luxury homes. This supply shortage continues to put upward pressure on home prices, even as appreciation slows.

Danielle Hale, Chief Economist at Realtor.com, explains:

“Today’s low but quickly improving for-sale inventory has ushered in more market balance than would otherwise be expected . . . This should help home prices maintain a slower pace of growth.”

In the luxury markets of Beverly Hills and Los Angeles, demand for prime real estate remains strong, particularly as mortgage rates show signs of declining. As more buyers re-enter the market in search of iconic properties, such as modern estates in the Hollywood Hills or classic mansions in Beverly Hills Flats, prices could see an upward tick. The continued appeal of LA’s lifestyle, top schools, and celebrity homes ensures that demand will remain robust in these high-end areas.

Why You Should Work with a Local Real Estate Expert in Beverly Hills and Los Angeles

While national trends give an overall view, real estate is highly localized—especially in exclusive markets like Beverly Hills, Bel Air, and Holmby Hills. What’s happening nationally doesn’t always reflect the specific dynamics of LA’s luxury market, where each neighborhood has its own pricing trends and inventory levels.

A local real estate expert can provide in-depth insights specific to your area. Whether you’re buying a luxury estate in Los Angeles or selling a multimillion-dollar property in Beverly Hills, working with a knowledgeable agent ensures that you have access to the latest data and market trends. They can help you price your property correctly and guide you through negotiations to secure the best deal.

Bottom Line

Home prices in Los Angeles and Beverly Hills are still rising, just not at the rapid pace of the last few years. Whether you're thinking about buying or selling, it’s crucial to have expert guidance to navigate the shifting market conditions. Let’s connect to discuss your unique situation, whether you're looking to buy a dream home or sell your luxury property at the right price.

Call Christophe Choo at (310) 777-6342 to tour your future home "HERE" or click "HERE" to estimate your home value