The Los Angeles County housing market in May saw a decline in sales and a rise in available inventory, even as home prices continued to edge higher, according to the California Association of Realtors.
Sales of single-family detached homes across Los Angeles County fell by 7.9 percent in May compared to the same month last year. Despite fewer transactions, the median price rose to $835,480, a 2.9 percent increase from May 2024. The keyphrase Los Angeles home sales appeared in the association’s monthly report, which showed the region’s market is entering a more balanced phase after several years of tight supply and escalating prices.
Inventory and Market Timing
Unsold inventory reached 3.9 months in May, up from earlier in the year and reflecting an 8.3 percent increase in new listings compared to April. This figure represents the amount of time it would take to sell all homes on the market at the current sales pace. The median time on market was 23 days, slightly longer than some previous months but still under a month overall.
“While the market remains competitive, there are more properties available now compared to last spring,” the association’s researchers noted in the report. “This trend could offer buyers more options through the summer.”
Monthly and Year-To-Date Trends
Month to month, Los Angeles home sales dropped 1.7 percent from April levels, while year-to-date sales remained 3.6 percent below last year’s performance. Median prices have stayed near historic highs, partly because fewer new listings entered the market during the first quarter of 2025.
For sellers, strong prices continued to be a bright spot. The median price of $835,480 marks one of the highest points in the last 12 months. However, the increase in unsold inventory suggests that some buyers are hesitating amid affordability challenges and higher borrowing costs.
Community Relevance
The shift toward higher inventory could have a significant impact in communities such as El Monte, Baldwin Park, and Rosemead, where entry-level buyers have faced intense competition. A more balanced market may slow rapid price gains and give first-time purchasers more negotiating room.
Local agents say the longer time on market and additional inventory signal a gradual return to pre-pandemic trends. While interest rates remain a factor limiting affordability, more listings could ease some pressure on buyers through the summer season.
The California Association of Realtors publishes monthly data tracking sales, pricing, and inventory. For details and regional breakdowns, residents can visit www.car.org/marketdata. Buyers and sellers considering moves in the Mid Valley region are encouraged to monitor listings closely as conditions continue to evolve.
