How to buy a home in Los Angeles

Los Angeles is a big place. Really big.  

With a metro area that includes the city of Los Angeles and neighboring cities and communities, Los Angeles County’s nearly 10 million residents make it the largest county by population in the nation. In fact, it has a population larger than as many as 40 individual states. 

Finding the right neighborhood in which to buy a home can be a challenge, but there are plenty of options for qualified borrowers, even in a tight market. 

Once you get a sense for what living in the California sprawl is like, you can start searching for home in Los Angeles. 

Los Angeles County covers more than 4,000 square miles and includes about 75 miles of Pacific Ocean coastline. There is something here for everyone, as well as a unique set of challenges.

The sheer size of Los Angeles means it has a lot to offer residents and visitors. In an area with a mild Mediterranean climate where weather is rarely an issue, there’s always a lot to do. In fact, it’s possible to wake up in the morning from a desert camping trip, go snowboarding in the mountains by afternoon and be on the beach in time for dinner.  

For adventuresome diners, Los Angeles offers a wide variety of cultural choices that include a vibrant Chinatown, Little Tokyo, Koreatown, Filipinotown and even the nation’s only Little Ethiopia. That’s all aside from the ubiquitous Mexican food and nearly 70 restaurants with either Michelin stars or Bib Gourmand ratings.  

For those interested in professional sports, the Los Angeles area offers three basketball teams, three soccer teams, two football teams, two baseball teams and two hockey teams.  

Yes, there’s also Hollywood, which is part of the city of Los Angeles. For those interested in seeing stars, the ones on the sidewalk along Hollywood Boulevard might be your best bet, since most of the work in the film and television industries is spread out across several major studio areas not always accessible to the public. 

For homeowners, one advantage of LA’s mild weather is heating costs are relatively low compared to other parts of the country where winters are snowy and cold. And unlike some desert communities in nearby states, residents here don’t need to run air conditioning quite as often to keep cool during summer months. Being able to save money on heating and cooling costs can certainly help offset some of the costs of living in Los Angeles.  

Los Angeles is a busy place. Traffic can be frustrating, even on nights and weekends.  

It’s not as easy to get around in Los Angeles without a car as it is in other big cities. Public transportation options are somewhat limited, especially in areas outside Downtown LA.  

Fuel prices in California also tend to be higher than they are in other states. And because of LA’s reliance on cars and the distances often involved, you’ll be in your car more and using more fuel, a cost that can add up quickly. 

One inescapable fact is housing in Los Angeles is expensive.  

As Zillow reports, the average home value in Los Angeles County is in the range of $871,000. If you want to live along the coast or at the beach, prices for even a modest home will start about $1.5 million and escalate from there.  

More affordable housing is available toward the outer edges of Los Angeles County, but that can often mean a longer commute from there to where more employment opportunities are available.  

And yet there is good news. There are areas in the Los Angeles area where homes are comparatively more affordable. They still won’t be cheap, but if you can settle for cheaper, it could still be doable. 

With as many as 114 officially designated neighborhoods as well as dozens of other surrounding unincorporated communities and cities, it can be overwhelming to decide where to start looking for a home in the Los Angeles area.  

After all, homes in the Los Angeles area are among the most expensive in the nation with a median home listing price of $915,000 and the most expensive home in the region listed at $190 million. 

Here are some more affordable options that you can consider as part of your search. Keep in mind that the Los Angeles area stretches far and wide, so where you plan to work or look for employment opportunities will likely play into your decision-making as well. 

Sylmar: Located at the northern edge of the city limits of Los Angeles, Sylmar is at the gateway to the San Gabriel Mountains and home to more than 80,000 residents. The neighborhood offers several regional parks and a branch of the county library. The median home listing price in Sylmar is $780,000. 

Tujunga: To the east of Downtown Los Angeles in the hills overlooking the city, Tujunga is also within Los Angeles city limits and home to Mount Lukens, the highest point in LA. The neighborhood has been featured in several Hollywood films over the years, most notably as the location of Elliot’s home in “E.T the Extra-Terrestrial.” The median home sale price in Tujunga is $819,000. 

Long Beach: Just outside the Los Angeles city limits with beach access and the famous Queen Mary, Long Beach is an ethnically diverse town with classic Craftsman-style homes as well as more modern properties. A vibrant downtown offers a mix of restaurants and nightlife activities. The median home listing price in Long Beach is $769,000. 

Carson: Named for an early rancher and not a famous late-night talk show host, Carson sits just south of Downtown Los Angeles. The city within Los Angeles County boasts a four-year university as well as the home field for the LA Galaxy soccer team. The median home sale price in Carson is $759,000. 

The cost of a move to the Los Angeles area will depend on several factors, particularly the location of the home you choose and the loan you are able to get.  

Your down payment before moving into a home in Los Angeles will depend on the mortgage you qualify for, and down payment options can range from 3% to 20%. Connect with a lender to see which down payment options you could qualify for. 

As a first step, get a mortgage pre-approval from a lender to start your homebuying journey in Los Angeles. 

Pre-approvals can show you the loan amount you qualify for and what your monthly mortgage payments will look like, and it lets you budget and shop accordingly.  

Once you get your mortgage pre-approval, you are ready to start the search for your dream home in Los Angeles. 

_{Applicant subject to credit and underwriting approval. Not all applicants will be approved for financing. Receipt of application does not represent an approval for financing or interest rate guarantee. Refinancing your mortgage may increase costs over the term of your loan. Restrictions may apply.} 

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