One of the biggest misconceptions in real estate right now is that the LA market is either:
- “hot”
or - “dead.”
That’s not really what’s happening. And the problem with waiting for the Los Angeles housing market to crash is costly.
The Los Angeles market right now is extremely property-specific.
Some homes sit for 90 days, collecting dust and awkward open house sign-in sheets.
Others get multiple offers immediately.
Sometimes in the same neighborhood.
Sometimes on the same street.
So what’s actually going on?
Buyers Have Become Much More Sophisticated
A few years ago, during the peak frenzy, buyers were throwing offers at almost anything with four walls and a roof.
People waived inspections.
Waived appraisals.
Waived common sense.
That market created unrealistic expectations for sellers.
Today’s buyers are more cautious, more analytical, and frankly more skeptical.
Interest rates changed the psychology of the market.
When money becomes more expensive, buyers stop behaving emotionally and start paying attention to details.
Overpricing Is Getting Punished Quickly
The fastest way for a listing to become invisible right now is to overprice it.
The problem is that many sellers are still emotionally anchored to 2021 and early 2022 pricing.
They remember hearing stories about:
- 17 offers
- buyers removing contingencies
- insane bidding wars
- homes selling hundreds of thousands over asking
Some of that still happens occasionally.
But only when:
- The house is exceptional
- The pricing strategy makes sense
- The presentation is strong
- The location is desirable
- and the property checks the right emotional boxes for buyers
Otherwise?
The market gets very quiet very fast. Especially if your house is not the Taj Mahal!
Presentation Matters More Than Ever
Bad listing photos used to matter less during the frenzy because inventory was so limited.
Not anymore.
Today, buyers are scrolling through properties rapidly and making decisions within seconds.
Dark photos.
Bad staging.
Clutter.
Weird angles.
Poor copywriting.
Lazy marketing.
All of it matters.
The listings that feel emotionally compelling online are still creating momentum.
The ones that feel sloppy or overpriced get ignored.
Condition Matters Again
Buyers are no longer blindly accepting every property defect simply because inventory is tight.
Older homes with deferred maintenance, foundation concerns, old sewer lines, outdated systems, or questionable remodel work are receiving much heavier scrutiny today.
Especially in Los Angeles, where renovation costs have exploded.
A buyer may still love the house emotionally, but they’re also calculating:
- insurance rider policies
- future repairs
- interest rates
- contractor costs
- monthly cash flow
- and worst-case scenarios
That changes behavior.
The Market Isn’t Dead. It’s Just Smarter.
This is the part a lot of people miss.
Homes are still selling.
Good homes, especially, are still moving quickly.
But the market is behaving more rationally now.
Buyers are asking harder questions.
They’re negotiating more aggressively.
They’re taking longer to make decisions.
They’re analyzing value more carefully.
Honestly?
That’s probably healthier long-term.
Some Sellers Need Better Expectations
One of the hardest conversations in real estate right now is helping sellers separate:
- emotional value
from - market value
Every seller remembers:
- what they paid
- what they remodeled
- how much they love the home
- what their neighbor supposedly got
But buyers don’t care about your emotional attachment.
Buyers care about:
- monthly payments
- condition
- location
- future upside
- and whether the numbers make sense relative to the alternatives they’re seeing online every night.
That’s reality.
Another key facet is what buyers and sellers don’t understand about escrow.
Final Thoughts
The listings performing best right now are usually the ones that combine:
- realistic pricing
- strong presentation
- good marketing
- strategic negotiation
- and sellers willing to adapt to current conditions instead of fighting them
Real estate is becoming a skill again.
And honestly, that’s probably a good thing for everybody.
About Glenn Shelhamer
I’m Glenn Shelhamer, broker of The Shelhamer Group and founder of Silver Lake Blog. I’ve spent the last 15 years helping buyers and sellers navigate the constantly shifting Los Angeles real estate market.
If you’re thinking about buying or selling and want a realistic perspective on what’s actually happening out there, feel free to reach out anytime.
Call or text directly:
310-913-9477
Instagram:
@theshelhamergroup
Email:
glenn@shelhamergroup.com
