Buying in Los Angeles: the full guide

What homes cost

In August 2026 the median price of an existing single-family home was $946,950 in Los Angeles County, up 1.7% on a year earlier, and $1,452,500 in Orange County, up 4.9%. The median time on the market was 30 days in Los Angeles County and 27 days in Orange County. For comparison, the statewide median for a condominium or townhouse was $640,000.

A county median hides a great deal. Los Angeles County stretches from the beach cities to the desert edge, and prices change sharply from one neighbourhood to the next. Treat the county figure as a starting point and look at the specific area, school district and building before you set a budget.

Proposition 13 and your tax bill

California property tax works differently from most European local taxes. Under Proposition 13 the rate is 1% of assessed value, plus whatever is needed to repay voter-approved bonds. A property is reassessed to market value only when it changes hands or is newly built, and between those events the assessment can rise by no more than 2% a year. On a purchase of $1,000,000, the base 1% is $10,000 a year by our arithmetic, before the extras.

The extras are the bond charges and direct assessments on the bill. Los Angeles County describes a direct assessment as a per-parcel charge that can include community facilities district charges, known as Mello-Roos. Some developments carry one, so ask the seller's documents for the amount and when it ends.

Three points surprise newcomers. First, two owners of identical homes can pay very different bills, because the long-standing owner is assessed on an old price. Second, your purchase triggers a supplemental bill for the rest of the tax year, and Los Angeles County warns that lenders do not usually pay these, so you may need to pay it yourself. Third, the homeowners' exemption saves only about $75 a year, and only if you live in the home. The annual bill is mailed by 1 November, with instalments due on 1 November and 1 February, and a 10% penalty after 10 December and 10 April.

Financing at Los Angeles prices

The conforming loan limit for 2026 is $1,249,125 for a one-unit home in both Los Angeles and Orange counties. That is well above the $832,750 baseline that applies in most of the country, so many purchases here still fit standard lending. Above the limit you need a jumbo loan, where each lender sets its own rules.

At Los Angeles County's median price, a buyer putting down 20% borrows about $758,000, comfortably inside the limit. In Orange County, 20% down on the median gives about $1.16 million, close to it. Buyers who live in Europe and hold no US credit history may be directed to a foreign national loan. See how foreign national loans work and what you need in cash at closing.

Earthquake, fire and insurance

Southern California carries two natural hazards that European buyers rarely plan for. The first is earthquakes. The USGS forecast gives a 60% chance of a magnitude 6.7 earthquake in the Los Angeles region within 30 years, 46% for magnitude 7 and 31% for magnitude 7.5. Check whether a homeowners policy includes earthquake cover, what the deductible is, and whether the building was strengthened.

The second is wildfire, which affects hillside and wildland-edge neighbourhoods most. The California Department of Insurance describes the FAIR Plan as a private association that offers insurance to residents who cannot obtain it from a regular insurer. Its policy is a limited fire policy, and cover for water damage, theft and liability needs a separate Difference in Conditions policy. Ask a broker what a home would cost to insure on the FAIR Plan, because a home that can only be insured that way may be dearer to run and harder to finance.

The practical advice is to obtain insurance quotes for the exact address before the contingency period on your purchase contract ends, not after.

How a purchase closes: escrow, not a notary

California is an escrow state. In Europe a notary prepares and certifies the deed. Here, once the contract is signed, an escrow holder acts as a neutral third party that collects the documents and funds from both sides and releases them only when the conditions of the contract are met. A notary is still needed to acknowledge signatures on documents that will be recorded.

The California Department of Real Estate says that in Southern California there is usually a separate escrow company and title company, each charging a fee, and that sellers usually pay for title insurance and the county transfer tax and split the escrow fee with the buyer. It adds that who pays what is ultimately agreed between the parties, so check the contract. The length of the escrow is set in the purchase contract, and a lender's underwriting can delay it. See how the US timeline compares with Europe.

Condominiums and homeowners' associations

Many homes in Los Angeles and Orange counties are condominiums or houses in planned communities with an association. California law requires the seller to give you the governing documents, the most recent financial documents, and a written statement of the current regular and special assessments, any unpaid assessments and any fines. Read them before you remove your contingencies, looking for planned special assessments, the reserve fund and any limit on letting. A lender may also look at the building's finances, so a poorly run association can limit your loan options.

If you plan to let it

Letting by the week is tightly regulated, and the rules differ from city to city.

A homeowners' association can forbid what the city allows. If a home will be let, tell the lender, because a property used as a rental is treated as an investment and not as a second home. A buyer who plans to cover costs by short-letting a Los Angeles home they do not live in should assume it is not possible.

Tax for non-residents and visa holders

If you move here on a work visa, you will usually become a California tax resident, taxed on all your income. If you stay in Europe, California taxes you as a non-resident only on California-source income, which the Franchise Tax Board lists as including rent from California real property and the sale of California real property.

At federal level, rent from US property owned by a non-resident is taxed at 30% of the gross amount, or a lower treaty rate, unless you elect to be taxed on net income. For a rental with a mortgage and running costs, that election usually matters a great deal. On a sale, the buyer generally withholds 15% of the amount realised under FIRPTA, with reduced withholding or none in some cases where the buyer will live in the home. California has its own withholding rules on a sale, so ask the escrow officer. A non-resident whose US assets exceed $60,000 at death must file a US estate tax return. Whether a tax treaty or a state-level estate tax changes the result is a question for a cross-border adviser.

Getting home

LAX's airline map, current at 1 July 2026, lists European carriers including Aer Lingus, Air France, Austrian, British Airways, Condor, Finnair, Iberia, ITA Airways, KLM, LOT Polish, Lufthansa, SAS, SWISS, TAP Air Portugal and Virgin Atlantic. The map shows which airlines operate at the airport, not which routes they fly, so check each airline's current timetable for the nonstop you want before you plan a life around it.

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