Southern California home prices rose in February, the first increase in seven months.
According to Zillow, average house prices in the six-county area rose 0.3% from January to $874,382 in February.
House prices have been falling every month since August, economists say it is a reflection of consumer and seasonal factors.
High home values and high mortgage rates make it difficult for potential buyers to bid for housing further, and markets tend to slow down in the fall and winter.
However, the decline was small, with prices in January falling to 1.6% last summer. The small gain in February is associated with a slight drop in mortgage rates and may escalate during the usually busy spring sales season.
But Zillow’s senior economist Orphe Divounguy didn’t see much change.
He said mortgage rates this year are unlikely to change much from today’s 6% range, which should prevent potential homebuyers from paying more for homes or apartments.
Existing homeowners are also increasingly choosing to sell, which should also be priced.
According to Zillow, Los Angeles County has 32% more homes for sale than in February 2024, and experts attribute it to existing homeowners who are increasingly looking to move rather than stick to cheap mortgages they get during the pandemic.
By February 2026, Zillow expects house prices in Los Angeles and Orange County to rise by 0.1% from last month.
Housing prices in cities and nearby
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Welcome to the Los Angeles Times real estate tracker. We publish a report every month with data on house prices, mortgage rates and rental prices. Our reporters will explain what the new data means for Los Angeles and surrounding areas and help you understand what you expect to pay for an apartment or home. You can read about the property failure last month here.
Explore house prices and rents in February
Use the tables below to search for home sales prices and apartment rentals divided by city, neighborhood and county.
Rent prices in Southern California
Last year, inquiries about apartments in many areas of Southern California about rents had fallen, but January’s Los Angeles County fires could upend the downward trend.
Experts say the rise in vacancy levels forced landlords to accept less rent, but the fires wiped out thousands of homes and suddenly pushed many into the rental market.
When these people searched for housing, there were widespread reports of illegal price fraud, and some landlords increased rents by more than 50%.
Since then, authorities have filed several criminal and civil cases against landlords and real estate agents, and it is not clear that the larger market will be more competitive in the coming months and year.
Most of the destroyed homes are single-family homes, and some experts say they expect the largest increase in rents, in larger units near the combustion zones of Palisade and Altadna in the Pacific, as the upward pressure on costs drops, away from the disaster area as units get smaller and smaller.
Rental data for January and February make what might happen.
According to the apartment list, in Santa Monica, which borders the Los Angeles city of Palisade, the median rent has increased by 1.12% from January, compared with December 3.06% to $2,527, according to the apartment list.
Apartment list analyst Rob Warnock said growth rates were faster than in previous years, although to a lesser extent, as well.
Throughout Los Angeles cities, including Palisades and many neighborhoods that do not adjoin any fires, rents have actually increased more than they have seen in the past few years. Median apartment rentals rose by 0.73% in February starting in January. Rents between December and January have not changed.
Warnock warned that data does not include single-family homes and apartment rentals in Los Angeles neighborhoods near the fire may also be greater than normal, but the apartment list does not have the ability to track it.
