LA housing market’s hot Q4 caps rollercoaster year

Malibu sales surged and newly-built condo prices jumped though deals in DTLA diminished

Los Angeles /
Jan.January 28, 2021 11:45 AM
The L.A. housing market remained hot in Q4, with Malibu leading the way, according to a new Elliman report. (iStock)
Malibu led the way in nearly every metric, according to Douglas Elliman’s fourth quarter report. (iStock)

The Los Angeles housing market stayed hot for the final three months of 2020, capping off a wild, treacherous and also prosperous year for buyers, sellers and brokers.

The median home sales price on the Westside and in Downtown L.A. reached $1.65 million, a near 10 percent year-over year rise, according to Douglas Elliman’s latest report. The figure also marked the second-highest median price ever, according to the report.

That seemed to show the flood of sales from the pent-up demand of pandemic lockdowns in spring had staying power.

Overall, L.A. properties that sold in Q4 were bigger and left the market faster compared to the same time in 2019. The average square footage of homes that sold neared an all-time record, though price-per-foot numbers dropped.

“For the fourth consecutive quarter, median sales price rose to a top-three record, despite the pandemic, as the market shifts to larger-sized sales,” said appraiser Jonathan Miller, who authors the Elliman report.

Sellers, brimming with optimism, pushed more homes onto the market in the fourth quarter, with inventory up 35 percent year-over-year. Homes were sold in an average of 53 days, 10 less than the same time in 2019. Listing discounts were also more modest year-over-year, the report showed.

The median price among the top 10 percent of homes that sold rose 11.2 percent.

In the down-arrow department, the Downtown L.A. market saw the most significant drop. Pricing and sales were down while inventory and number of days on the market were up, the report found. The average price per square foot on all Downtown condos fell to $637 from $720.

The median sales price among L.A. condos fell 3.6 percent year-over-year to $930,000, and their price per square foot fell 4.6 percent.

But the number of condo sales has surged. More condos sold year-over-year, and units spent fewer days on the market in the fourth quarter. Despite that, inventory was up 72 percent year-over-year, with DTLA luxury high-rises contributing to the stock.

The number of newly-built condos in L.A. units on the market doubled — from 84 to 168 — but listing discounts were less severe than a year ago. While the median sales price on those properties rose 56.3 percent to $3.5 million, average price per square foot fell 3.6 percent to $1,194.

Malibu was for the hottest market by nearly every metric. The median sales price in the fourth quarter was $5.1 million, up nearly 71 percent year-over year and nearly 30 percent from the third quarter.

Average price per square foot in the seaside enclave rose 22 percent year-over-year. Also, 31 percent more homes traded and inventory fell nearly 16 percent.


Related Articles

arrow_forward_ios
(Unsplash via Philippe Gauthier)
LA’s homebuying frenzy boosts number of $1M homes
LA’s homebuying frenzy boosts number of $1M homes
Southern California’s housing market undoubtedly cooling (Getty)
SoCal home sale prices inch down…but they’re still high
SoCal home sale prices inch down…but they’re still high
Kanye West and 24844 Malibu Road (Getty, Compass/Facebook)
Album drop then price chop: Kanye pays $57M for Malibu beach house
Album drop then price chop: Kanye pays $57M for Malibu beach house
3530 E. La Palma Avenue with Gelt partners Keith and Steve Wasserman (Google Maps, Gelt)
Gelt pays $147M for Anaheim apartment complex
Gelt pays $147M for Anaheim apartment complex
Jose Huizar (Getty)
Jose Huizar was just an “evangelist for robust development”: attorney
Jose Huizar was just an “evangelist for robust development”: attorney
Leonardo DiCaprio adds another Malibu beach house to SoCal portfolio
Leonardo DiCaprio adds another Malibu beach house to SoCal portfolio
Leonardo DiCaprio adds another Malibu beach house to SoCal portfolio
The dip in new contracts was also connected to a large drop in new listings (Getty)
LA County listings, signed contracts dip in August
LA County listings, signed contracts dip in August
Keely Shaye and Pierce Brosnan with the Malibu house (Getty, Compass via Realtor.com)
Buy another day: Pierce Brosnan pulls Malibu beach house off market
Buy another day: Pierce Brosnan pulls Malibu beach house off market
arrow_forward_ios

The Deal's newsletters give you the latest scoops, fresh headlines, marketing data, and things to know within the industry.

Loading...