Mortgage Rates (Freddie Mac):
- The average 30-year fixed rate decreased this week to 6.35% vs 6.5% last week
- The largest weekly drop in the past year!
August Market Stats
📊 August 2025 Market Update: Prime LA Home Sales on the Rise
When we compare MLS data across LA's prime markets (including Beverly Hills, BHPO, Hollywood Hills, West Hollywood, Bel Air / Holmby Hills, Westwood / Century City, Brentwood, Santa Monica and Venice), we see notable year-over-year shifts:
August 2025 vs. August 2024:
- 🏡 Homes Sold:
- 180 in August 2025 vs. 142 in August 2024, an increase of 27%
- 💰 Median Sales Price:
- $3,000,000 in August 2025 vs. $2,604,500 in August 2024, an increase of 15%
- 💰 Median Sales Price Per Sq Ft:
- $1,359 in August 2025 vs. $1,225 in August 2024, an increase of 11%
- ⏱️ Average Days on Market:
- 42 days in August 2025 vs. 39 days in August 2024, an increase of 8%
- 🏆 Highest Sale Recorded:
- $47.5M in August 2025 vs. $27.3M in August 2024
What’s Driving This?
- Persistent Demand in Prime Neighborhoods: Well-priced homes in Beverly Hills, Brentwood, and Santa Monica continue to attract strong interest, especially with buyers now focusing on these areas since Palisades inventory has been reduced after the fire
- Growing Inventory: More sellers are now coming to market, supported by easing mortgage rates and the expectation of Fed interest rate cuts
What to Watch Next: Fed, Jobs & Inflation
- 📉 Fed Meeting (Sept 16–17): Markets expect a 25 bps interest rate cut
- 📊 Inflation: August CPI came in at 2.9% YoY, still sticky, suggesting further interest rate cuts will be gradual
- 👷 Jobs: Only 22,000 jobs were added in August (well below forecasts) and unemployment edged up to 4.3%, showing the economy is cooling
- 🏠 Impact: Together, this points to a Fed that needs to support growth, but may move cautiously given sticky inflation, a dynamic that could push mortgage rates lower and fuel Autumn selling activity ahead of the Holidays!
- Have questions or just want to talk real estate? I'm always here to connect.
