Where do the Richest People Live?

If you’re a millionaire, you want a house befitting of a millionaire. That’s why we’ve collected everything you need to know about the places with the most millionaires, the most billionaires, the most expensive cities int he world and the country. This is the definitive luxury list. London is the city with the most millionaires in the world, with 357.000, the size of a small city! Keep reading to find out where the richest of the rich buy their property…

List – Cities with Most Millionaires

One way to measure where the richest people live is to see how many millionaires live in the city. The more millionaires, the more luxurious, expensive and high class the city is bound to be. What makes up a city to have a lot of millionaires? First and foremost, a lot of people. That means that in a city with 5 million inhabitants, you’ll likely have 5 times more millionaires than in a city with 1 million inhabitants. It’s also about where there’s luxury real estate though, because millionaires want to live like millionaires.

Worldwide – Top 10 Cities with Richest People

So, without further ado, it’s time to look at the cities which are home to most millionaires. No surprise, New York is near the top with 357.000 millionaires . It’s a playground if you want to buy luxury New York real estate. The top 5 are rounded out by London at the very top, and three asian cities following. The top 10 cities with the most millionaires worldwide are:

1. London, UK – 357.000 millionaires
2. New York City, USA – 339.000 millionaires
3. Tokyo, Japan – 279.000 millionaires
4. Hong Kong, HK – 228.000 millionaires
5. Singapore, Singapore – 217.300 millionaires
6. San Francisco, USA – 180.300 millionaires
7. Los Angeles, USA – 173.300 millionaires
8. Chicago, USA – 135.000 millionaires
9. Frankfurt, Germany – 128.300 millionaires
10. Beijing, China – 122.000 millionaires

USA – Top 10 Cities with Richest People

The USA is well-represented in the top 10 cities worldwide, making up 3 of the top ten. That’s not bad. In total the USA has over 18.000.000 millionaires, more than 4 times as much as the nearest competitor, China. With this many millionaires, they have to live somewhere, a lot of them in NYC, San Francisco, and Los Angeles obviously, but where else? These are the top 10 cities in the USA with most millionaires:

1. New York City, NY – 339.000 millionaires
2. San Francisco, CA – 180.300 millionaires
3. Los Angeles, CA – 173.300 millionaires
4. Chicago, IL – 135.000 millionaires
5. Washington, DC – 120.000 millionaires
6. Boston, MA – 110.200 millionaires
7. Philadelphia, PA – 109.000 millionaires
8. Houston, TX – 98.500 millionaires
9. San Jose, CA – 90.700 millionaires
10. Detroit, MI – 90.100 millionaires

Most Popular Destinations for the Ultra Rich – Las Vegas, L.A., and more

So you want to learn more about how the richest of the rich live? Well look no further. The richest can be found in Las Vegas Bellagio Suites, Miami Penthouses, and New York Lofts. This is how the richest of the rich live.

Las Vegas – Where the Millionaires live

Las Vegas is home to the richest man in Nevada and the richest man is: Sheldon Adelson, owner of the Las Vegas Sands, a luxury resort chain. It is home to the world’s biggest and best Casinos, and some of the most prime real estate you can imagine. Las Vegas has more gated communities than water in the ocean, and each is more luxurious than the last. That makes it attractive for people looking to have some fun, but also people who are looking to invest smart.

$18.5 mil. Mansion – Villa Tour in Las Vegas

One example of a property in Las Vegas. Typical for the city: decadent furnishings, modern and sleek style, combined with lush greenery, and of course… a golf course in immediate proximity. It also has 7 bedrooms, as well as pool with its own 21 foot waterfall.

• Location: 93 Spanish Gate Drive, Las Vegas, NV 89113

What is the Most Expensive Neighborhood in Las Vegas? The Ultra Rich

It’s a bit of a complicated matter, with Summerlin and Henderson probably being the residential areas with the most >$1 mil. transactions. Although these are not strictly within city limits, we’re just going to count it as Las Vegas. So, the most expensive residential area in Las Vegas is ‘the Ridges’, located in Summerlin. Prices range from $2 mil. and $7 mil. for a house. It is also the area in Las Vegas with most house sales >$1 mil, with the most expensive on the market at the time of writing being $30,4 mil. The full list of most expensive communities in Las Vegas below:

1. The Ridges: $2.000.000 – $7.000.000
2. Anthem Country Club: $1.200.000 – $4.400.000
3. Macdonald Highlands: $1.000.000 – $4.200.000
4. Southern Highlands Country Club: $1.000.000 – $3.000.000
5. Seven Hills: $1.000.000 – $2.700.000

Las Vegas Luxury Real Estate – Property Investments in Sin City

In Las Vegas, real estate is a commodity like in any other city, except with the difference that the city is filled with people looking to make a quick buck, and ready to take a risk. What real estate is concerned it’s an interesting market, and is likely going to be a growing niche in the national markets. Learn more about the hottest neighborhoods, the best places to live, and what you have to know about Las Vegas:

Las Vegas Luxury Real Estate

Miami – Billionaire Row in Florida

Miami is a tropical mega city, and has all the luxury and decadence to show for it. From manmade islands, to the best restaurants in the world, as well as a booming arts scene, and postcard worthy views at every turn. It’s hard to top this city for atmosphere. No wonder it’s home to thousands of millionaires who happily take a seat overlooking the clear turquoise blue waters. If you want to live among the ultra-wealthy, Miami is the place to go.

Designer Mansion in Florida – Millionaire Miami House Tour

Just outside Miami is Tommy Hilfiger’s ‘Fun House’. Here, nestled between ocean and palm trees is a mansion that looks more like a luxury resort. Estimated to be worth around $25.000.000, this probably isn’t easy to purchase. But it is on the market right now! Designed by Martin Lawrence Bullard, this beach villa tour is bound to leave you speechless.

Most Expensive Areas – Where do Millionaires live in Miami?

You may have heard of millionaire’s row in Miami. But Millionaire’s Row isn’t what it used to be. Not since the 90’s have the richest people in Miami lived in this stretch on Collins Avenue between 41st and 63rd Street. Nowadays the ultra-wealthy are heading towards Indian Creek Island, where the biggest and most expensive houses can be found.

List – Where do Millionaires live in Miami?

In Miami, millionaires tend to live in a few top neighborhoods. Although arguably all of Miami Beach is a massive luxury suburb, there’s some neighborhoods you won’t believe. As mentioned the most expensive, hottest, most billionaire, CEO, model, Actor place is definitively Indian Creek Island. Also popular are the Venetian Islands, manmade islands with some of the east coast’s most exclusive properties. Another area to keep in mind: Fisher Island, another of the famous islands lining Miami’s coral-blue waters. These are the richest neighborhoods in Miami:

1. Indian Creek Island: $15.000.000 – $47.000.000
2. North Bay Road: $7.500.000 – $45.000.000
3. Star Island: $7.100.000 – $28.000.000
4. Hibiscus Island: $1.200.000 – $14.200.000
5. Venetian Islands: $1.000.000 – $25.700.000

Where to Buy Property in Miami – Real Estate Investment Florida

To make smart investments, you need to know the situation. From Florida property taxes, mortgage, renovations, etc. everything you need to know about buying a house in Miami, can be found in our article on the top investment areas for Miami. It also details real estate market explanations, and steps to buying real estate, houses, apartments, etc. in Miami, Florida’s hottest, richest, biggest, city.

Miami Luxury Real Estate

Los Angeles – Richest, Celebrities, and CEOs

Los Angeles is maybe one of the most famous cities in the world. If you want to buy real estate in L.A., you may want to look away now. L.A. isn’t just famous because it’s home to Hollywood, Bel-Air, and Beverly Hills. This mega city has everything from art, world-class restaurants, stadiums, beaches, and the list goes on. It’s truly a playground for the richest of the rich.

Top 10 Richest People in L.A. – Who are L.A’s richest inhabitants?

The richest people to live in L.A. are mostly businessmen. There are few women, and also few from the film industry. Although the famous movie director Steven Spielberg is at 12th, and music mega-producer and owner of Geffen Records, David Geffen is at 6th position. The richest people living in L.A. are Elon Musk ($197 bi0.), pharma mogul Patrick Soon-Shiong (6,9 bio.), and Sean Parker ($3 bio.). To spot for the richest people in L.A., the full list of wealthiest Angelenos:

1. Elon Musk
2. Patrick Soon-Shiong
3. Sean Parker
4. David Geffen
5. John Tu
6. Eli Broad
7. Stewart & Lynda Resnick
8. Tamara Hughes Gustavson
9. Steven Udvar-Hazy
10. Rick Caruso

Most Expensive Property in Los Angeles – Luxury Home

This massive property has been dubbed the most luxurious house in the USA. Being worth over $250 million, and including a prviate helicopter, personal chefs, masseuses, 24/7 security, and much more, it makes sense that this property is as expensive as it is.

• 21 Bathrooms
• 12 Bedrooms
• Location: 924 Bel Air Road
• Price: $250 mio.

Where do the Rich Live in Los Angeles? Most Expensive Areas in L.A.

Everyone’s heard about the mega-mansions in Beverly Hills, or the villas lining the palm-lined streets in Bel-Air. There’s probably a lot of areas you’ve never heard of though, that are home to the richest and most luxurious houses you can imagine. Topping the list, Beverly Hills with the average home here costing aroun $9.990.000. Note, if you want to buy an apartment in L.A., it won’t be this expensive! Below the list of most expensive neighborhoods in L.A.:

1. Beverly Hills – $9,99 mio
2. Bel-Air/Holmby Hills – $5.7 mio.
3. Malibu – $5,49 mio.
4. Brentwood – $4,5 mio.
5. Pacific Palisades – $4,7 mio
6. Beverly Hills Post Office – $4,4 mio.
7. Santa Monica – $3,6 mio.

Buying Real Estate in L.A. – Most Expensive

For Luxury Real Estate in L.A., for example if you want to buy a house in L.A., you’re going to want to get informed first. That’s why we have our full overview below. It tells you everything from the current state of the market, the things you should look out for, where to buy real estate in L.A., and pretty much everything else you need to know if you’re thinking about buying property in the city of angels.

Los Angeles Luxury Real Estate

New York – NYC Billionaires Real Estate

If Los Angeles is one of the most famous cities in the world, New York City is the most famous. It is synonymous with metropolis, America, and everything you could ever want or imagine exists in this mega-metropolis. It’s home to some of the tallest buildings in the world, the richest people in the world, the best condos and apartments, and the best bars and restaurants. Apart from some extremely high property taxes, New York City is a gift for real estate investors.

Condo tour in New York – Luxury Apartment Walk-Through

This apartment can be found in the world’s slimmest skyscraper, and gives you a view of central park. It’s seemingly endless luxury begins with the plaster walls, true-wood flooring, a bar with marble countertops. If you’re packing your bags, slow down though, as you’re going to be looking at the hefty price tag of $28.750.000.

• Price: $28.750.000
• Location: 111 West 57th

What is the Most Expensive Neighborhood in New York? The Richest in the Big Apple

It’s no surprise that almost all of the most expensive properties in New York are going to be found in Manhattan. Famous for big companies, its crazy income tax, and skyscrapers to no end. Remember that these prices are for buying an apartment in New York, if you want even more luxury, try buying a house in New York. The ultra-luxurious and high-class areas in this part of the city are world-famous. SoHo, TriBeCa, and Hudson Yards can be heard in movies and songs every year thanks to their iconic status in culture. The most expensive neighborhood in all of NYC is NoHo, with the average house costing around $3.250.000. On a side note, the most expensive area in Brooklyn Cobble Hill is around $1.600.000, and in Queens, Ditmars Steinway is $1.100.000.

1. Noho – $3.250.000
2. Hudson Yards – $3.201.875
3. Tribeca – $3.150.000
4. Central Park South – $3.050.218
5. Nolita – $3.002.146
6. Theatre District – $2.970.000
7. Bowery – $2.350.000
8. Soho – $2.330.000
9. Civic Center – $2.270.000
10. Hudson Square/West Soho – $2.050.000

Luxury Real Estate New York – Expensive and Luxurious

Buying real estate in New York is surely no easy task. If you’re thinking about investing in New York real estate, or even just want to get informed about the real estate market in New York, we have the perfect reading for you. In the article below we detail the best neighborhoods to live in New York, where to buy real estate, how to get into the real estate market, and what you need to look out for. It’s part of our series on buying a house and buying an apartment.

New York Luxury Real Estate

Buying L.A. Real Estate – Guide and How-To

We take you through the whole process of real estate investment in L.A. From the very first step, deciding on the type of real estate, to the final step, how to sign the closing contract. Buying real estate in L.A. surely is a task unto its own. There are many ins and outs, and small details which you cannot risk overlooking. What is the property tax like? Is California property tax higher than elsewhere? Which areas are best? Is it a good time to invest in L.A. real estate? We answer all your questions and more in this XXL guide for buying real estate. Before we go on about the city though, let us take you through an important question. Which type of real estate do you want to buy?

If you already know in more detail what you’re looking for, go ahead and skip to one of the main articles! (opens in a new tab)

• Buy Apartment – L.A.
• Buy House – L.A.

Buying a House – Full Explanation, Guide

In this article we go through how to buy different types of real estate in Los Angeles. It covers most of the most important information, but if you’re looking to buy a house specifically, we have the perfect guide for you. In our article Buying a House, we go through every step of the process of buying a house specifically. You won’t have to look anywhere else for info:

Buying a House

Buying an Apartment – Full Explanation, Guide

Apartments are quite different from houses, not only in their shape, but also in their demands, and in the steps you will have to take to buy one. We cover everything you need to when buying a house, from the taxes, deal negotiation and more, specifically for buying a house. This is your one-stop guide for everything you need to know

Buying an Apartment

Hidden Costs when Buying Real Estate in L.A.

There are a few costs which people don’t consider when buying a piece of real estate. These are not universal, as you may buy a furnished house which would take away moving costs, or you may buy without a mortgage, which would prevent mortgage insurance. There are also taxes which you should be aware of.

Additional Costs of Buying a House, Apartment, Condo, etc.

There are many additional costs in real estate. These are sometimes also called closing costs, as they are associated with the close of the deal. Yet closing costs aren’t all additional costs. As mentioned, furnishing and moving are also often forgotten costs of buying real estate. What you pay for in closing costs are things like moving expenses, real estate transfer taxes, title-search fees, escrow fees, realtor fees, etc. In Los Angeles, closing costs are a little over 2% of the mortgage. I.e. of the mortgage principal (the money loaned to you) you can expect to pay an extra 2% to cover closing costs.

• Additional 2% of mortgage

For more information on additional costs that you can expect when buying a home:

• Buying Real Estate – Additional Costs

Taxes when Buying Real Estate in L.A.

Thankfully you will not have to pay mortgage registration tax when buying real estate in L.A. You will likely have to pay the real estate transfer tax, called Documentary Transfer Tax in California. This is a tax you pay to the state in order to finance the documentation of your real estate in the administration. You will also have to pay pro-rata property taxes. Usually the owner of a piece of real estate will pay the property taxes for a whole year, if you buy a property in June, you will need to pay the seller back the remaining 6 months of property tax.

• Documentary Transfer Tax
• Property Taxes

There are 3 Taxes when Buying Real Estate!

Real Estate Market L.A. – Explained

The L.A. real estate market is a wild west. To understand and work in this system is complex and demanding, even for real estate experts. We’ve done our research and can give you the full run down of how real estate, buying apartments, buying houses, and investing works in the city of angels.

Home Price Trends L.A. – Housing Market Development

Home price trends for the area are reported using the Case-Shiller Index, a statistic published by Standard & Poor’s forming part of an index of residential real estate market values. This index allows one to view the development of housing prices in the city.

• Case-Shiller Index shows development of house prices

How much it Costs to Buy a House in L.A. – Most Expensive Parts of L.A.

In Los Angeles County, which includes the less-in-demand outer regions, single-family homes are at $660.000. In other counties in the region, these prices are comparable, although the famous Orange County takes the cake with a median home price of $930.000. Where in L.A. are the most expensive houses? Where is it cheapest to buy a house in L.A.? Below the list of median sales price for all of L.A.’s counties, ranked.

• San Bernardino County: $370.000
• Riverside County: $490.000
• Los Angeles County: $660.000
• Ventura County: $750.000
• Orange County: $930.000

Home Price Trends in L.A.: Where Los Angeles Houses are Gaining Value

The most important question when looking into buying real estate is how the home prices are changing. You do not want to buy real estate in a region where prices are decreasing. That would mean that when you sell your property you will make losses. According to the data, Riverside County, just east of L.A., and including Joshua Tree National park, is gaining in value second most. Where in L.A. are home prices increasing the most? San Bernardino county, with a year-over-year increase of 20% is gaining the most in value. In Los Angeles County, home to most of L.A.’s best neighborhoods, includes the less-in-demand outer regions, single-family homes are also gaining in prices.It is experiencing the most modest increase with 12%. Below the year-to-year change of single-family residences of Los Angeles.

• San Bernardino County: +20%
• Riverside County: +15%
• Orange County: +13%
• Ventura County: +12%
• Los Angeles: +12%

Joshua tree national park is considered one of the most beautiful national parks in the whole USA.

Average Rent Prices L.A. – Trend, Prediction

The median price of an apartment at the moment is $667.000. On top of this, rental prices have been steady in the past years, when looking at average rent. A price increase of about $100-$200 is very acceptable, and you can see a very similar development over the past years. These are the prices per square meter that you can expect to pay in rent ($/m²).

• 2017 – $2.281
• 2018 – $2.385
• 2019 – $2.516
• 2020 – $2.524

Where is the Highest Rent in L.A.? Most Expensive, Cheapest Areas

So where is the rent highest and where is it lowest? That’s an important question, even when you are looking to buy. For real estate investors, some areas, with very high rent can be attractive as an investment opportunity, as it is likely that the purchase price will quickly be balanced out by the high rent. The highest rent in L.A. can be found in North of Montana, with $4.690. Meanwhile, the lowest is in Jefferson Park ($1.355), where the beautiful houses and architecture allow this formerly high-class area to be attractive to people of all walks of life.

• North of Montana ($4.690) – Highest rent
• Jefferson Park ($1.355) – Lowest Rent

How to Calculate House-Buying Budget? L.A.

Assuming you have job security as well as a salary to pay for mortgage payments, you can make quite an easy calculation to decide on your budget. It’s based on the simple addition of your downpayment plus additional costs.

How much is a Downpayment in L.A.?

More on mortgage further below, but typically you want to pay at least 20% on your downpayment in L.A. as well. Although there are fairly low mortgage interest rates at the moment, and FHA loans make low downpayments possible, these are unnecessary costs, and you should only invest in real estate if you really have enough savings. On the average house of $600.000, you will pay a downpayment of $120.000.

Calculation for Buying a House – Budget

Now you know your downpayment (20%). Now you should add the additional costs which come with buying a home. These are typically around 2-5% of the mortgage, but in L.A. comparatively low at around 2-2.5%. That means you can calculate your budget by taking the money which you have on hand to spend, and multiplying this by 4.85!

Savings x 4.85 = Budget!

In What Type of Real Estate Should I Invest?

This is the first and most decisive question you will have to ask yourself. Don’t worry if you don’t know the answer! That’s what we’re here for. We’ll also let you in on a little secret, it’s actually not bad at all to not be certain of the type of real estate you want to buy. You may just have a little extra cash, be fed up with your current living situation and just looking out there. Well I’d recommend that you take a look at what you could afford.

Best House Hunting Tip! Don’t Narrow your Search

There is a great two-step process for making a decision on what you want to buy: first you calculate your budget, second go hunting on real estate portals for houses, apartments, condos, etc. With this you can start searching before being nailed down on what type of real estate to buy. Too many people assume that they will need to buy a house because of particular reasons, and end up narrowing their search. You may be able to afford a house in an area only slightly outside of your main search radius, or an apartment which is large enough for your dogs, etc.

What Types of Real Estate in L.A.?

Los Angeles has different types of real estate than e.g. New York. Whereas New York is all apartments and townhouses, L.A. has much more opportunity for single houses, condos or duplexes, and of course also the infamous vacant lots, where you can build your dream home. These are popular because they allow for a fairly private space, and prevent the stress which comes with door-to-door neighbors. Other types of property are townhomes, small lot homes (advantage: no homeowners’ association!), coops, much like the New York apartment market, TICs (Tenancy in Common), and of course the infamous vacant lots, where you just buy a piece of empty land.

• Single-Family Home
• Duplex
• Condo
• Townhome
• Small-lot Home
• TICs
• Vacant Lots

Is it Hard to Buy a Duplex in L.A.?

Yes! Duplexes (or even triplexes) are typically hard to own for the resident, as investors tend to buy these and rent them. These are some of the most popular investment properties in all of Los Angeles, and if you want to move into your home, this will be a hard buy! Go for a condo, apartment or house instead!

Preparing to Buy Real Estate in L.A. – 5 Steps to Prepare

To buy real estate there are 5 easy things to do which will prepare you perfectly for the purchase of real estate. These are largely financial, as you could guess. Not to worry though, it is not complicated, only requiring you to get some things in order. Before buying real estate, you need to do these 5 things:

• Look at your finances – outstanding debts, savings, etc.
• Gather documents about finances
• Speak to a mortgage broker
• Decide on your financing – which type?
• Find a real estate agent, an attorney, and finally a home inspector

Buying Real Estate Steps – Guide & Explanation for L.A.

Now the most important stuff. The process of buying real estate can be long and arduous, or if you know what you’re doing, a fun and engaging project. Either way, you will have to invest time and thoughts into your search.

Before you Begin – Preparation for Real Estate

Before doing any searching or getting in touch with a realtor, you should check your finances and get a mortgage pre-approval. Especially in L.A.’s market, this is vital. This means an in-depth credit report and an intensive search for a good mortgage lender. More on good mortgage lenders and how to find them in our article Mortgage Explained.

Mortgage pre-approval shows sellers and mortgage lenders that you are a serious buyer, and that you are good for the money you owe. Not only that, but it makes the search much easier because you have, on paper, exactly how much you can spend.

A mortgage broker is the first person you want to have in your team for buying a house. When finding a mortgage broker, shop around and see what brokers are best suited for your case.

• Get a mortgage broker!
• Shop around

Beginning the Search – First Steps

Assuming you have a real estate agent (which you should), this process is mostly delegated to them, although you can help by doing some of the work yourself. Your real estate agent can then get in touch with these property owners and pave the way for the process. Another good option: Ask around with family and friends. It’s much better to deal with people you are friendly with than strangers.

• Look at Listings Yourself
• Drive through a Neighbourhood you like
• Ask Friends and Family

Check Your Credit! How to Check your Credit Score

To prepare for your mortgage and preapproval, you will have to check your credit score. This is really not as difficult as it sounds. Your credit score will make or break your real estate purchase. The first thing you have to do is get a credit report. This is free. You can choose from one of three agencies in Equifax, Experian, and TransUnion. After you get this report, you should check if everything is in order. There are occasional errors, and other methods by which to improve the way this report looks. After, you order your credit score. You can choose to either pay a credit reporting agency (e.g. Equifax), or check for free in your online banking or on your credit card statement.

1. Order credit report
2. Check for errors in report
3. Check credit score from your bank (free) or from a credit reporting agency (costly)

L.A. Mortgage – Most Important Facts, Tips you have to Know

When buying any property, you will need to pay a downpayment on your mortgage. In L.A., with comparatively high real estate prices, your downpayment should be at least 20% in order to avoid the likely very high mortgage interest rates. While we dscussed above how you should be looking at a mortgage broker, these are the things you have to know about paying your mortgage.

Average L.A. Downpayment Price – High Mortgage Rates, High Interest Rates

Mortgage in L.A. means for many people, a downpayment that is not only a financial burden, but often also a burden too heavy to stem. That means many people who need to buy a house, will either struggle to save up, or make large sacrifices to pay such a downpayment, or, potentially worse, make a smaller downpayment. This smaller downpayment leads to high mortgage interest rates, and of course principal mortgage insurance. With a home price of e.g. $700.000, the classic 20% downpayment is a hefty $140.000! How much is a downpayment in Los Angeles? The average person pays over $100.000 when buying a home in L.A., just on their mortgage.

• L.A. Average Downpayment: >$100.000

L.A. Real Estate Agents – How to find the Best Real Estate Broker

What to look for in L.A. real estate agents: Real estate agents will often show off with their amount of experience. That’s of course important, but a young agent can be much more knowledgeable, and a person who has worked in the field can also be incompetent. Next, also make sure that you personally get along well with your agent. That means meet yor agent, and see what you think and what kind of an impression they make.

How to find the Perfect Real Estate Agent – Easy Rule

There is a tried and tested method by which to identify the perfefct real estaet agent for you. You can use the 3 p’s rule. The 3 p’s are

1. Personal attributes of the agent – is he/she trustworthy, approachable, diligent, etc.?
2. Payment structure – How is he/she being paid? is their goal to make you happy or to close on as many properties as possible?
3. Past track record – You can often quite easily find out the agent’ss history, and whether they have been successful in the past

List: Best L.A. Real Estate Agents

These are, according to our research the best real estate agents in L.A. Remember! Everyone has their own needs, and thus need different agents, but these have shown to have quality, care for their clients, and make good deals.

1. Suarez Team
2. Park Regency Realty
3. Stephanie Younger
4. Pinnacle Estate Properties
5. Jon Grauman
6. Billy Wynn
7. David Yun/Eighty8
8. Rafael Gevorkian

Before you Buy – What type of House Ownership?

There are many ways to own a home, these usually depend on whether you are a sole owner, or whether your spouse is also owning part of it. Finally, the differences are mostly in who will own the property when ways part. Apart from the classic sole ownership, you have joint tenancy with right of survivorship (2 or more people own a home, equally), tenancy by the entirety (identical to joint tenancy but when owners are married). Lastly, there is tenancy in common, where 2 or more people own a certain poportion of a home.

• Sole Ownership
• Joint Tenancy with Right of Survivorship
• Tenancy by the Entirety
• Tenancy in Common

Finding a House, Apartment, etc. in L.A. – Best Method

If you want o buy a piece of real estate in L.A., you have to go ahead methodically. Of course you’ll likely have an agent helping you with everythign along the way, but you will want to get involved in the search as well. Firstly, how to find good properties, and next, what you should be paying attention to.

Beginning the Search – First Steps

Of course your real estate agent will be looking at listings constantly for you. They often send weekly reports of possible properties, of which you can then decide which you like. Additionally though, it’s also good if you take a look yourself at listings on different websites. Some real estate listings are also not online. That means it can be a good idea to drive around neighborhoods which you’d like and look for open houses or for sale signs. Your real estate agent can then get in touch with these homeowners and pave the way for the process. Another good option: Ask around with family and friends. It’s much better to deal with people you are friendly with than strangers.

• Look at Listings Yourself
• Drive through the Neighbourhood
• Ask Friends and Family

What to Look for in a House – Tips!

The main things you have to look out for in your house are likely first and foremost financial in nature. Is it in your price range? Does it need many repairs? Etc. There’s other things you may personally find important like, proximity to city, public transportation access, a swimming pool, and more. Your realtor can tailor your needs and desires so that you receive listings which align with your wishes. Another important thing, if your financial situation is not as liquid, you can look out for homes which are in need of renovation. These are often sold undervalue, meaning that you can buy and renovate them for a lower price than a similar house in perfect condition.

Things you may need to look for are the following:

• Price
• Size
• State of proeprty (e.g. possible renovations)
• Schools and Leisure Opportunities in the area
• Number of baths and Befrooms
• Local real estate market (rising or decreasing value)
• Access to Public Transportation
• Distance to Shopping and Supermarkets
• Amenities like Swimming Pool or Balconies

How Long it Takes to Buy a House in L.A.

From start to end, the process is going to take a few weeks at least. The time can range anywhere from three weeks to three years, but on average you can expect about 6 months from start to finish. Some people search for years and fail to find anything. In the end, how long you spend finding a new house depends on how well-prepared you are. If you are financially responsible, have a lot of money saved, the process can be shortened, as your pre-approval will be easier to obtain, and you are able to financially outbid and provide security to sellers. In any case you should not rush it, as that leads to mistakes and misjudgements that can cost you in the long run

• 3 Weeks to 6 Years

How to Buy Real Estate – Closing the Deal

So you’ve found your dream property. It’s everything you ever hoped for, and you can afford it. What now? Now is the critical step where you are going to have to make an offer that’s not too much and not too little. The best scenario is that you make an offer slightly lower than what the seller is willing to accept, they make a new offer, and this offer is the lowest they will go. Then you will have paid the least possible for your property.

Step 1 – Making an Offer

Your agent will help you htourgh this whole process. Beginnning with telling you what your first offer should be. You will also want to have the agent present the offer to the seller, taking over from you. You may want to do this in person, but if you have the right agent, it will always be the better option to have them take care of this, as it will certainly not be the first dealing they are brokering.

• Agent makes the First Step

Also! Remember that you may not be the only one trying to buy this piece of real estate. That means that you may end up in a bidding war with other buyers, especially for desirable, and affordable homes. Things that make you a stronger candidate are better finances, mortgage pre-approval, as well as being lenient in the closing date.

How to Prepare a Purchase Agreement – Important!

What’s a purchase agreement? It’s basically you saying what you imagine under your purchase. the seller will then agree to these (hopefully), and the rest of the deal will depend on this. For this reason there are many details in this agreement. This includes personal information of you, the buyer, as well as the owner, i.e. the seller. The location of the home, the price which you want to purchase it for, who is lending the mortgage, and the amount of the downpayment. Decorations, or other features which will be left in the house, and the circumstances on which your purchase decides. This is very important. A purchase agreement must ensure that your purchase depends on the home inspection, the mortgage approval, and the appraisal. Lastly, it will also include the closing date

• Price of House
• Mortgage Lender
• Personal Infos
• Anything Left in House
• Contingencies of Purchase
• Official Closing Date

Home Appraisal + Inspection – What to do After Closing

Closing on your home is not the last step of the process. You will have to get your home inspected, appraised, and your mortgage approved. These are critical steps, and while not all are mandatory, skip them at your peril. Don’t get lazy now! Skipping steps here will leave you regretting it for years! This is what you absolutely have to do after closing on your real estate:

1. Home Inspection
2. Home Appraisal
3. Mortgage Approval

Avoid Issues and Traps in Real Estate – Home Inspection!

Not only should you do this, but it is also your legal right to get a home inspection. It is more of a precaution than a convenience. This can prevent you from unseen future payments that can haunt you for years. A professional home inspector will go through the house, taking a look at everything from electrical systems to heating. This professional inspector gives you a summary of the house. It includes all possible issues. There are always some issues, and the may not be very significant, but can be, and even if they are not, can be used as leverage in your negotiations.

• Not necessary, but good

Should I get a Home Inspection? When to get Home Inspected

There are almost no circumstances under which you should avoid a home inspection. It may seem like an avoidable cost at first, but in the end you will be thankful that you did get it done. Especially in L.A., where roofing issues, and other things like sinking are much more common than elsewhere, a home inspection will be a blessing, and will most likely save you thousands of dollars.

What’s the Value of My House? Home Appraisal done Right

A home appraisal is where an expert comes to take a look at the property and takes a detailed look at everything in order to properly estimate the true value of the piece of real estate. This is an important step, and will likely be obligaotry. It is influential when looking at reselling, but also for your mortgage. Importantly, you should take note of the detailed report, as the appraiser may have gotten something wrong, and you can contest the appraisal given there is a mistake.

• Contest the appraisal if necessary!

Why is a Home Appraisal Important?

Your lender will most likely require the official appraisal of an expert. That is why there will often be no way around it. But also, because it is good practice to have this done. For lenders, the motivation of the home appraisal is to avoid giving you a loan for a house that is worth less than you buy it for, because it is less likely that you will be able to pay back the loan. Therefore you likely want your appraisal to be the same as your purchase price. If the appraisal is lower than the price, you may not get approval, if it is higher, count yourself lucky, but this may become a factor in renegotiations.

• Avoid a low Appraisal Price!

Saving Money on Real Estate in L.A. – Tax Deduction Tricks, Tips, etc.

Real estate, like taxes is a domain where experts always seeem to pay considerably less than everyone else. That’s because they know all the ins and outs. There are countless ways to save money, but many of them consist of complicated processes like founding a corporation or a charity, or going into business with other people. Still, there are simpler methods which you can start using today, with little energy expended. These are our top tips for saving money on real estate in L.A.

L.A. Real Estate Tax Deductions – How to Save Money on Taxes

For people who are not able to pay a full downpayment, there are many support programs. Real estate purchases are generally encouraged with incentives and support programs. The best are for first-time homebuyers, meaning that if it is the first time that you buy a full residence, you will pay less taxes, and have other monetary incentives. More on that in our main article on buying a house.

• Less taxes for first-time homeowners

In addition to these incentives and deductions, there are also programs such as veterans’ loans, or less costly mortgage programs for low- and middle-income buyers from Home Possible Mortgages. In Los Angeles specifically you can make use of ‘California’s First Mortgage Program’ and ‘First Home Mortgage Program’ given you are eligible. These provide finanical assistance and make the process much less financially risky.

We have a full-size guide on how to use tax breaks and deductions to your advantage:

Real Estate Tax Deductions

Saving with Home Improvements

The planet is dying, and everyone has to do their part. That’s why many houses in L.A. nowadays are sold with eco-friendly upgrades already done. These inlcude renewable energy sources such as solar power, or other variants such as more insulated roofing or smart thermostats. Having these can cut down on your recurring costs.

• Eco-friendly = Wallet-friendly

Final Checklist – Steps to Buying Real Estate in L.A. Explained Shortly

These are the steps you will take when buying real estate in L.A. Behind each of these steps there are more details and things you should take a look at. Remember that in total, the process of buying real estate, when doing it right, is not a short 2 week affair. That’s a good thing though, do not hurry the purchase! That’s where errors and mistakes come up most frequently. Finally, these are our top tips and tricks, our steps to buying real estate in Los Angeles.

1. Save up for the Downpayment
2. Find a Mortgage Broker
3. Get Mortgage Preapproval
4. Get your Team Together: Attorney, Real Estate Agent, etc.
5. Start looking at Listings
6. Go to Viewings
7. Submit an Offer
8. Close

This city article is part of our full size guide: Buying a House

L.A. Real Estate – How to Buy

Los Angeles is a legendary city with incomparable opportunities. If you want to move here, it is probably a good idea to invest in real estate. There are of course many types of real estate, from apartments to condos and townhouses. Or houses, which is the possibility we dive into here. Much like buying an apartment, buying a house is a complicated process in general, complicated even more by municipal, county, and state laws. Rather look into something smaller? Buying apartment in L.A.

Most Expensive House in L.A. – Bel-Air Luxury Mega Mansion

The most expensive house on the market in the whole of the U.S. last year was the ‘billionaire’. This house also has the highest tax bill in L.A. It is a massive multi-million dollar house which is situated in Bel Air, and comes equipped with a Helicopter on the roof (you can even see it on google street view!).

The Billionaire is among the most expensive real estate in the whole of USA, and it also pays the highest taxes for any property in L.A. with a massive $1.4 mil. in taxes annually. It can be found at 924 Bel Air Road in L.A. It is worth $188 mil. and includes perks like the helicopter, the most expensive sinks you’ll likely see, along with a Louis Vuitton bowling alley, and a private art gallery.

• Style: Contemporary
• Location: 924 Bel Air Road Los Angeles, California
• Worth: $188 Mil.

Economy – Thriving for Startups and Creatives

The economy of Los Angeles is, as expected, of course heavily made up of the creative sector. It’s no coincidence that Hollywood is the largest movie making center in the world. Los Angeles was originally heavily agriculture and manufacturing, but nowadays, thanks to its fame and size, it has drawn other sectors. The most important economic sectors in Los Angeles are finances/business, technology manufacturing and innovation, fashion, and of couse movies. The economy of Los Angeles is actually so massive, that if it were a country, it would rank above most other countries in terms of GDP. It is marked by resilience to market changes and fluctuations.

• Creative, Tech, Finance
• GDP: $960.25 bil.

If you’re looking to invest in real estate, it’s probably good to think about forming an LLC, an S corporation, or a limited partnership!

Is it Worth Buying a House in Los Angeles? – Real Estate Market

Los Angeles has a massive housing market, for houses, as well as for apartments. In general, home prices are increasing throughout the city. That means buying a house will translate to a higher selling price, and therefore profit. Still what you get for $500.000 in L.A. now is probably less than what you get for $500.000 in Modoc County, not too far away, but Modoc County isn’t likely to become too popular anytime soon, so you’ll be selling it for the same price, while in L.A. you can expect at least a %10 percent increase in value over the next two years.

• Home Prices Increasing

Home Price Trends L.A. – Housing Market Development

Home price trends for the area are reported using the Case-Shiller Index, a statistic published by Standard & Poor’s forming part of an index of residential real estate market values. This index allows one to view the development of housing prices in the city.

Sales Volume for Los Angeles

The number of sales in Los Angeles is decreasing. That may be a worrying sign from outside looking in, but it’s not because people aren’t buying, rather it’s because there are few properties on the market. This also explains the rising costs, with limited supply, and high demand, prices are rising. At the moment, the average house in L.A. is selling within a super short 26 days.

Real Estate Market Explained

The real estate market in L.A. is neither sellers not buyers market. The past year saw an increase of 30% in single-family homes, as compared to last year.

• Increase in Sales

How much it Costs to Buy a House in L.A. – Median Sales Price

In Los Angeles County, which includes the less-in-demand outer regions, single-family homes are also gaining in prices. Below the list of median sales price, as well as the year-to-year change.

• Single-Family Homes: $660.000 | +12%
• Condos/Townhouses: $490.000 | +9%

The counties making up Los Angeles city, a.k.a. Greater Los Angeles, the prices are similar for single-family homes. Orange county sticks out for its high prices, and high increase in median sales price. San Bernardino takes the cake though, with a massive increase in 20% increase in median sales price.

• Orange County: $930.000 | +13%
• Riverside County: $490.000 | +15%
• Ventura County: $750.000 | +12%
• San Bernardino County: $370.000 | +20%

Is it Hard to Buy a House in L.A.? – Problems

As mentioned, the Los Angeles market is extremely competitive. That presents two probelms. For one, it may be difficult to find the home with the exact specifications you’re looking for. Even then, when you do find it, you’ll have to outbid other buyers which are likely just as keen on the property. That’s shown in the fact that only about 25% of Los Angeles residents can afford a house in the county.

Mortgage Rates – High with Interest

Mortgage in L.A. is a topic unto its own. These high prices also mean another thing of course, that a downpayment is not only a financial burden, but often also a burden too heavy to stem. The average downpayment in L.A. last year was over $100.000 for people buying a single-family residence. That means many people who need to buy a house, will either struggle to save up, or make large sacrifices to pay such a downpayment, or, potentially worse, make a smaller downpayment. This smaller downpayment leads to high mortgage interest rates, and of course principal mortgage insurance. With a home price of e.g. $700.000, the classic 20% downpayment is a hefty $140.000!

Taxes! Where to Pay and How

In L.A. your taxes are a complicated story. You may have heard an eclat about longtime homeowners paying significantly less in taxes than those with newly purchased homes. At any rate, there will be taxes when buying a house, as well as repeating property taxes.

More on L.A. taxes in our article on California Property Taxes.

How Much Money do you Need to Buy a House in L.A.?

There are of course a million ways to save money everywhere on your home. From saving on your taxes when buying a home to government programs, you need to make sure to take a look at the possible programs for you in your income-, cultural-, and geographical region.

We have a full-size guide on how to use tax breaks and deductions to your advantage:

Real Estate Tax Deductions

Saving in the City of Angels

For people who are not able to pay a full downpayment, there are many support programs. Real estate purchases are generally encouraged with incentives and support programs. The best are for first-time homebuyers, meaning that if it is the first time that you buy a full residence, you will pay less taxes, and have other monetary incentives. More on that in our main article on buying a house.

• Less taxes for first-time homeowners

In addition to these incentives and deductions, there are also programs such as veterans’ loans, or less costly mortgage programs for low- and middle-income buyers from Home Possible Mortgages. In Los Angeles specifically you can make use of ‘California’s First Mortgage Program’ and ‘First Home Mortgage Program’ given you are eligible. These provide finanical assistance and make the process much less financially risky.

Saving with Home Improvements

The planet is dying, and everyone has to do their part. That’s why many houses in L.A. nowadays are sold with eco-friendly upgrades already done. These inlcude renewable energy sources such as solar power, or other variants such as more insulated roofing or smart thermostats. Having these can cut down on your recurring costs.

• Eco-friendly = Wallet-friendly

What you Need to Know About Buying a House in L.A.

Buying a home in Los Angeles is costly, unless you know where to look. The commute is long, unless you find the right spots. All the ins and outs of such a massive city must be taken into account. These are the things that will make your experience of buying a home in L.A. more manageable.

It’s the Season – Spring

If you want to buy a house in Los Angeles, the time to do it is in the late winter to early spring. From January to March, the prices of homes are lower than the rest of the year, which means you can pay less for the same house that you would normally.

• Buy in Spring!

Location is Super Important

Which neighbourhoods in L.A. to buy in? The old realtors adage, location location location. In L.A. this holds true more than in other places probably. What you should know about where to buy is that some neighbourhoods are expensive and dangerous, others only expensive, and the best of all, affordable and safe. In L.A. you will probably want to stay away from south central, where crime rates are much higher than elsewhere. Additionally, you’ll be apying a location premium anywhere near the downtown core and the beach.

Get a Realtor!

In L.A., more so than in other cities, a realtor is your best friend. Or at least should be. The market is quite complicated owing to the high demand, ever-changing characteristics, and massive market. A real estate agent with experience in the area can guide you through these choppy waters and get you out safely on the other side.

Don’t Forget Additional Costs

This is a problem homebuyers face everywhere, but more so in L.A. Additional costs are always an unexpected burden on top of the already large price of the house. There’s a lot to delve into, so I defer you to our guide detailing all additional costs you can expect when buying a house

• Real Estate Purchase – Additional Costs

Renovating your Home – Beware of this

A major problem in Los Angeles is that of unlicensed professionals making unlicensed alterations to houses. These are usually cheaper, but when you’re buying a house, beware of these as they can come back to bite you. Another problem is, due to the weather and climate, sun damage, and depending on the location the salty air. These make for costly maintenance in the long run, and it’s a good idea, if you have to renovate, to spend a bit more and not have to spend again. Other common problems include ‘sinking’, as well as roof and plumbing issues.

• Common Problems: Roofing, Sun Damage, unlicensed work

Get Pre-Approved!

With such a competitive market a mortgage can be hard to find. Especially considering this mortgage principal is going to be larger than is usual. Therefore, pre-approval is vital. Not only does it give you security, and allows for you to plan better around what you can expect to buy, it also makes you more attractive to sellers. A mortgage pre-approval will make the whole process, from beginning to close worth it.

Process Explained – How to Buy a House in Los Angeles

The process in Los Angeles is the same as for buying a house in the whole of USA. In short you save up, find the people that will help you through the journey, find your future home, and close on the deal. More specifically:

1. Save up for the Downpayment
2. Find a Mortgage Broker
3. Get Mortgage Preapproval
4. Get your Team Together: Attorney, Real Estate Agent, etc.
5. Start looking at Listings
6. Go to Viewings
7. Submit an Offer
8. Close

How Long it Takes to Buy a House in L.A.

From start to end, the process is going to take a few weeks at least. The time can range anywhere from three weeks to three years, but on average you can expect about 6 months from start to finish. Some people search for years and fail to find anything. In the end, how long you spend finding a new house depends on how well-prepared you are. If you are financially responsible, have a lot of money saved, the process can be shortened, as your pre-approval will be easier to obtain, and you are able to financially outbid and provide security to sellers. In any case you should not rush it, as that leads to mistakes and misjudgements that can cost you in the long run

• 3 Weeks to 6 Years

Best Real Estate Agents in Los Angeles for Buying a House – Ranked

In a city as big as L.A. there’s going to be a whole lot of real estate agencies. If you want to buy a house in L.A. you will want the best real estate advisors and brokers available. Below a list of the top 8 real estate agents and groups in L.A. according to our research

1. Suarez Team
2. Park Regency Realty
3. Stephanie Younger
4. Pinnacle Estate Properties
5. Jon Grauman
6. Billy Wynn
7. David Yun/Eighty8
8. Rafael Gevorkian

Los Angeles City Explained

Los Angeles is made up of many neighborhoods and communities. These are difficult to count per se, because depending on your definition one thing may or may not count as a separate city, as a community, as a district, etc. What also complicates matters is the fact that Los Angeles county and the Los Angeles metropolitan area are two different regions. The Greater Los Angeles metropolitan Area is the largest metropolitan region in the Country, and is home to 18,7 mil. people.

• Pop. 18,7 mil.

Los Angeles’ Counties – More than L.A. County

The Los Angeles metropolitan area is mostly in Los Angeles county, although made up in total of five counties. The five counties which make up L.A. are Ventura County, San Bernardino County, Riverside County, Los Angeles County, and Orange County.

• Ventura County
• San Bernardino County
• Riverside County
• Los Angeles County
• Orange County

How Many Neighborhoods in Los Angeles? Map

There are over 200 neighborhoods in the Los Angeles metropolitan area. Again, this is difficult to pin down to an exact number, as definitions vary. Don’t forget Catalina Island, which is also part of Los Angeles County, and often counted as part of the city. Below a real estate map of Los Angeles, detailing the neighbourhoods.

What is the Downtown of Los Angeles?

When talking about a downtown, you expect a central business district. That means a place within the city with heavy economic activity, often in the form of a financial district, shopping, or similar. The city of Los Angeles has multiple of such districts. The obvious one, and largest, is downtown Los Angeles, with others including Downtown Long Beach, Downtown Pasadena, Downtown Glendale, and Downtown Burbank.

• Many Downtowns

L.A. Property Taxes – Explained by County

Los Angeles, thanks to its many counties, has very different property tax rates depending on the area. Property taxes are influenced by municipal and county administrations, therefore you can expect to have a headache trying to figure out your own property taxes in your location. Still though, one can compare, broadly, the property taxes by comparing the county-wide rates. Note that Riverside, with 0.97% has the highest property tax rate in Los Angeles, as well as ranking second highest in California property taxes. So, what are the property tax rates for Los Angeles counties?

• Los Angeles County – 0.75%
• Ventura County – 0.74%
• San Bernardino County – 0.83%
• Riverside County – 0.97%
• Orange County – 0.68%

Neighborhoods in LA – Venice to Glendale

What neighborhood should you move to? There’s something for everyone in this megacity, and you’re bound to find what you’re looking for. With so many neighborhoods, each offering up their own unique flair and identity, you won’t be hardpressed to find a location that you’re happy with. The neighborhoods to know for buying real estate are as follows

Mid-City – Residential Heaven

The place close to everything. You’re likely to find everything you need nearby, as well as avoid a long commute. With sales prices varying from less than $500.000 to over $2 mil. the price class leaves you deciding what you want to go for.

Inglewood – Hottest on Market

It seems L.A. real estate is all about Inglewood. It’s no surprise it’s the hottest tip in the city, because it’s close to the downtown, with currently very affordable prices and great amenities. Not to forget it’s so close to LAX, that you’re never going to have to rush for a flight again. Keep a lookout in the rising districts of Hollywood Park, Fairview Heights, Westchester/Veterans, and La Tijera. Lastly, it’s almost certainly a good investment, with the current construction of the stadium for the LA Chargers and Rams being a major draw in the future.

Ladera Heights – Up Next?

Situated right next to Inglewood, this neighbourhood will be the dark horse of L.A. real estate. While Inglewood is taking the headlines, you can be sure that Ladera Heights is also making big steps in becoming one of the hottest desitnations for real estate in California’s super-city.

Silver Lake/Echo Park – The Hippest

If you’re a young creative, I won’t have to tell you about silver lake, and its adjacent brother Echo Park. It’s the place for the hip young and cool in Los Angeles. Buying a home here will leave you not only certain of a high selling price, thanks to gentirfication and near-certain rising popularity, it’ll also have you happy with the amenities. Everything from shopping, to the coolest bars and resetaurants can be found in this piece of the city.

Paying a House in California

California is a dream destination. For people from all over the world it represents the American dream, beach lifestyle, bathing in the sun with a cocktail in hand. Property taxes can differ massively, different neighborhoods in L.A. will have different tax structures. Considering California is home to Hollywood, but also Silicon Valley, this is a state where things are happening. For this reason it is also a much beloved destination for buying real estate. Whether you want to buy an apartment in L.A., buy a house in L.A., or to invest your capital completely differently, California is a fairly safe bet. It also has a fairly low property tax rate of 0,77% But where to start? It’s important to get a lay of the land about where who pays how much in property taxes. If you’re looking to invest in real estate, don’t forget about additional taxes when buying a house.

• California Property Tax: 0,77%
• Florida Property Tax: 0,94%
• New York Property Tax: 0,86%

What are Property Taxes?

Property Taxes are ad-valorem taxes which you pay for owning property, meaning that it is based on the monetary value which is estimated to be attached to an item, piece of land, property, etc. A property appraiser provides the basis for calculation.

Property tax is often confused as being a tax on real estate property. Yet this is a misconception. The largest proportion of property taxes come from real estate, because this is the most expensive property most people own. Yet property taxes can also be levied on airplanes, computers, furniture, etc. When buying a house, these must be paid in advance, and then received back from the seller. Property taxes are typically a rate which is multiplied by the estimated value of the property. This value is estimated by an appraiser, and takes into account location, age, etc.

Property taxes are a complicated concept. To learn more about U.S. property taxes, when you have to pay them, and how much each state pays in property taxes,

• Property Tax in the U.S. – Guide

What is Taxed under California Property Tax?

In different states and counties, different items count as ‘property’. In California, it is important to distinguish real property and personal property. Personal property is taxed differently than real property, and can be exempt from taxation, or have a different type of taxation.

Real Property – Everything Taxed as Property Tax

What is taxed in California is of course very different from things taxed in New York or Miami. Real property is what is often the first thought when thinking about property tax. Houses, land, or any improvements made on property of which one is an owner. The following things count as real property

• Land
• Mines or quarries, as well as all timber
• Improvements, including buildings, fences, ornamental trees, etc.

Personal Property – What Counts as Property?

Personal property is other large property. By definition, personal property is all tangible or intangible property which is not real property (see above). Some examples are tractors, boats, or even tools. Yet, not everything is taxed, for example personal effects, household goods, etc. are exempt. In California there are property taxes on bonds, mortgages, capital stock shares, etc.

How do Property Taxes Work?

In the U.S., because there are state as well as county and city property taxes, it is a complicated system. If you live in New York, you may even have to account for additional taxes such as a mansion tax. New York property taxes are of course unique in this. In general, for any given piece of land you have state property taxes as well as county property taxes. In addition to this, some cities levy additional taxes for property. Therefore, when owning property, it is important to be informed about property taxes at all government levels. In California, since 1933, the state no longer levies property taxes on any items except privately owned railroad cars. Nowadays, the ≈ $65 worth of property tax collected are mostly from schools and school districts (54%).

All across California though, you are privy to a tax exemption on your primary residence. This means that the assessed value of the property is reduced by $7.000. If you want to learn more about tax exemptions for real estate in the U.S., take a look at our article

• How to Save Money with Real Estate Tax Deductions

Average in the U.S. – Am I Paying High Property Taxes?

In general, the U.S. has fairly low property taxes. Although, it is difficult to compare to other countries as all have their own systems. Still, investing in real estate in the U.S. is all the more attractive for the low costs which are attached to owning property and buildings. Across states, tax rates for owning property are change strongly. The average tax rate in other mega cities is comparable, Miami property tax is at 0,94%.

• Average property tax rate – 1.1%

Property Tax Special! How to Write off Property Tax!

It’s possible to pay up to $10.000 less property tax if you do it right! You just need to follow the steps and deduct the right things from your bill. You can deduct the property taxes from everythign from land to boats and more! Just read our quick article on the topic!

Write off Property Tax

Property Taxes in California Counties

California, along with New York, has fairly high property taxes. Although there are no counties with excessively high taxes (the highest property tax in the U.S. is found in five counties near New York City). The highest property Tax in California is found in Marin County, Santa Clara County and San Mateo County. In Los Angeles County, the median property tax is comparatively low, slightly higher in Orange County, with San Diego County the lowest tax rate of the large counties

Property Tax Rates in Los Angeles

Los Angeles County is most famous for its metropolis of course. Home to Hollywood, Venice Beach, and quintessential to everything known worldwide about California, investing in property in L.A. county means a strong real estate market unlikely to crash any time soon.

• Median House Price – $495.800
• Avg. Property Tax Rate – 0.75%

Property Tax Rates in Santa Clara County

Santa Clara county has a significant property tax bill, with the median property tax being paid amounting to $6.183. Santa Clara is home to San Jose, and includes the famous Palo Alto. It is among the four counties in the San Francisco Bay Area which have disproportionately high property tax rates (the others being Marin, Alameda, and San Mateo County)

• Median House Price – $829.600
• Avg. Property Tax Rate – 0.75%

Property Tax Rates in San Diego County

San Diego County is home to San Diego, a city known worldwide. With a population of 3.34 mio., it is the second biggest county in California. In the city of San Diego, some 53% of the population lives in rental properties, making these a strong investment. The median property tax here is $3.672.

• Median House Price – $484.900
• Avg. Property Tax Rate – 0.76%

Property Tax Rates in Marin County

The highest property tax bill can be found in Marin county. With a median property tax of $7.063 being paid by each property owner in the county. This may be down to its close proximity to San Francisco in the Bay Area. Marin County is also among the most expensive counties in all of the U.S., reflected in its median house price of $908.000.

• Median House Price – $908.800
• Avg. Property Tax Rate – 0.78%

Property Tax Rates in Modoc County

Modoc County has the lowest median property tax paid for California counties. This is down to the low value of most properties owned here. With few attractions and the only city being Alturas, the population of 8.777 people makes this county less attractive for real estate investments.

• Median House Price – $143.100
• Avg. Property Tax Rate – 0.71%

Property Tax Rates in Orange County

Orange County, known from series such as OC California, or from the fact that it is one of the counties which make up Los Angeles. Orange County is considered an attractive real estate market. Mostly suited to buying intentions, many investors have found success in this oceanside paradise. The median property tax paid here is slightly higher than elsewhere at $4.247.

• Median House Price – $620.500
• Avg. Property Tax Rate – 0.68%

All Property Tax Rates – California Counties

These are the rankings for the lowest and highest property tax rates in Californian Counties. Above are some of the most important property tax rates to know for California. Below a comprehensive list of all counties, and the average effective property tax rate, ranked from lowest average effective property tax rate to highest. Note, effective tax rate takes into account additional exemptions or additions which come about as a result of district or municipal property taxes.

• Trinity County – 0.51%
• San Francisco County – 0.65%
• San Mateo County – 0.66%
• Santa Cruz County – 0.66%
• Humboldt County – 0.67%
• Mendocino County – 0.68%
• Orange County – 0.68%
• Santa Barbara County – 0.68%
• Colusa County – 0.69%
• Mariposa County – 0.70%
• Napa County – 0.70%
• Tehama County – 0.70%
• Modoc County – 0.71%
• Monterey County – 0.72%
• Plumas County – 0.72%
• Sonoma County – 0.72%
• Butte County – 0.73%
• Inyo County – 0.73%
• San Luis Obispo County – 0.73%
• Tuolumne County – 0.73%
• Amador County – 0.74%
• Ventura County – 0.74%
• Glenn County – 0.75%
• Los Angeles County – 0.75%
• Mono County – 0.75%
• Santa Clara County – 0.75%
• Madera County – 0.76%
• San Diego County – 0.76%
• Shasta County – 0.76%
• El Dorado County – 0.77%
• Kings County – 0.78%
• Lassen County – 0.78%
• Marin County – 0.78%
• Alameda County – 0.79%
• Siskiyou County – 0.79%
• Stanislaus County – 0.79%
• Tulare County – 0.79%
• Del Norte County – 0.80%
• Nevada County – 0.80%
• Merced County – 0.81%
• San Benito County – 0.82%
• Solano County – 0.82%
• San Bernardino County – 0.83%
• Alpine County – 0.84%
• Calaveras County – 0.84%
• Fresno County – 0.84%
• Sacramento County – 0.84%
• Contra Costa County – 0.87%
• Sutter County – 0.88%
• Yolo County – 0.88%
• Yuba County – 0.88%
• Lake County – 0.89%
• San Joaquin County – 0.89%
• Imperial County – 0.91%
• Placer County – 0.93%
• Sierra County – 0.95%
• Riverside County – 0.97%
• Kern County – 1.01%

Property Tax in California

No matter what your intentions are with real estate property in California, the counties and their tax regulations make up an important part of the knowledge bank which you need to build up before deciding how, when, and where to invest. California is an attractive real estate investment market for many reasons. Its kilometers of beaches, variety in nature, mix of hip and luxury, and hundreds of other reasons make it a numebr one destination for those looking to put their money to good use.

Investing in real estate is difficult and complicated, with taxes being a significant part of this. Our guide is sure to be of help to you,

• Buying Real Estate – All Taxes you have to Know

Celebrities, Surf, and Tech

Los Angeles is quintessential for America, and along with New York, perhaps the poster city for the United States. This city is unique for its mix of young, laid-back and progressive people, as well as the glamour of Los Angeles, and big-city downtown. Home to the world’s most famous movie production area with Hollywood, as well as countless cultural icons, this is the city to see and be seen. It is home to some of the most luxurious and high-end real estate in the world, such as this 35$ million Hollywood mansion.

Los Angeles has many neighborhoods, districts and counties within its broader metropolitan area. There are 15 so-called districts which are named 1 through 15, all of which are situated in two counties (Los Angeles County, Orange County). Yet similarly, there are 72 neighborhoods, including Westwood, Venice, or Bel Air. Some divide the metropolitan area into 4 districts: Beverly Hills, Santa Monica, Hollywood, Anaheim, and Los Angeles proper.

Already know you want to move to L.A.? Let us help you with our guides

• Buy Apartment: Los Angeles
• Buy House: Los Angeles

Los Angeles Facts

It has a population of 3.99 million, meaning it makes up 9.9% of California’s massive 39.51 million inhabitants. According to a large sample surveyed, 37% of inhabitants from Los Angeles rated their health care system as good or very good, ranking it 9th in the World, ahead of other Metropolises like Montreal and Berlin. Los Angeles Airport (LAX) is the third busiest airport in the world, and reported a 0.8% increase in the past two years. The housing market is massive in Los Angeles, and popular among real estate investors. Learn more: Luxury Realtor Los Angeles.

Bird’s Eye View of Los Angeles

Want to see how Los Angeles looks from the sky? Check out these drone shots of the City of Angels.

Map of L.A. and Surroundings

Real Estate Investment Los Angeles

Los Angeles is a massive city, spanning multiple counties. It’s near impossible to decide where to live. Generally, there are those that want to live in the famous residential areas of Bel-Air or Beverly Hills, there are also people who want the tumult of downtown LA, or younger people, and those looking for a more comfortable atmosphere will head to e.g. Silver Lake or Mid City. In general, for Los Angeles, it’s a good choice to rent, as opposed to buy. With purchases prices being comparatively high.

• Lowest rent: Jefferson Park $1.355
• Highest rent: North of Montana $4.690

Buy or Rent?

Los Angeles, what type of investment should you make here? You would likely be best served with the choice of a rental property. The median home price somewhere around $630.000, with a 3.5% downpayment translates to monthly mortgage payments of over $3.000, compared to the average renta price for a three-bedroom of $2.600 a month. Although, this calculation turns with time, where if you live in a property longer than four years, ownership is cheaper than renting.

Our full rundown on L.A. real estate investment:

• Real Estate Investment Los Angeles

Is Real Estate Expensive in Los Angeles?

Home prices in the metropolitan area of Los Angeles increase by about 13% annually, with the number of sales also increasing over the past year. The median price of an apartment is now $667.000. On top of this, rental prices have been steady in the past years, when looking at average rent.

• 2017: 2.281 $/m²
• 2018: 2.385 $/m²
• 2019: 2.516 $/m²
• 2020: 2.524 $/m²

Property Taxes – How Much to Pay

California property taxes are not bad compared to the national average. Especially Los Angeles county is good regarding real estate taxes. The property taxes of counties surrounding Los Angeles, of Orange County Los Angeles County, and Fresno county are as follows:

• LA County: 0.75%
• Orange County: 0.68%
• Fresno County: 0.84%

Most Popular Los Angeles Neighborhoods

Everyone knows the luxury of 90210, the Bel Air bluffs or Venice Beach. There are more neighbourhoods in L.A. apart from these.

Culver City – Brooklyn of Los Angeles

Silver Lake, often described as the “Brooklyn of Los Angeles,” is much more than just a hipster’s paradise. This popular downtown L.A. neighborhood has transformed its image over the years from rough and tumble to upscale chic. Today, celebrities, artists, professionals and more and more families live here. Silver Lake is characterized by its diversity and versatility, but above all by its authenticity. It offers one of the best residential locations in L.A.

Silver Lake – Home of Artists

Silver Lake is located east of Hollywood and is one of the hippest neighborhoods in town . It’s hipster like out of a picture book. The place is packed with great bars, hot restaurants, wine stores, one or three art galeries, and it’s teeming with young people, both professionals and artist types. If your idea of a good time includes lots of coffee, cocktails and unique dining experiences and doesn’t include quiet, relaxing nights at home, then Silver Lake is for you. A current average selling price of $1,144,000 for houses means this area is high-end real estate.

Glendale – Best Place to Raise a Family

Glendale is one of the safest areas in LA. If you’re looking for a place where you know you can raise your kids with confidence, safety is more important than anything else. Just a few miles from downtown Glendale, you’ll find the LA Zoo, the Norton Simon Museum, Travel Town, hiking trails in the San Gabriel Mountains and many other places to relax. Glendale is probably best known for its Brand Boulevard, a famous shopping street where a variety of businesses have gathered. Here is The Americana at Brand, a huge outdoor shopping complex. Zillow classifies the Glendale housing market as “very hot”.

Monrovia – Small-Town Charm

This growing city of nearly 40,000 inhabitants differs from other communities by its dynamic small-town charm and the accumulation of high-tech industry. Many amenities are available here: Everything, from world-class cultural facilities and wonderful recreational opportunities to world-class education and health care, is directly available to residents. This is an up-and-coming area with steady growth and many opportunities, meaning it’s the perfect palce for young families. The average list price in Los Angeles is almost $750,000, in Monrovia closer to $650,000 dollars. Monrovia is a good place to buy at the moment.

North Hollywood – Stress-Free Area

North Hollywood is located in the San Fernando Valley, north of the Ventura Freeway and Universal Studios. Here you will find the vibrant NoHo Arts District, a hip enclave where theater – not film – is the big star. What’s great about NoHO – and unusual for the area – is the fact that everything is within walking distance, easy and stress-free. The district is full of local stores, pubs and nearly a dozen performing arts theaters. Call NoHo at home if you want to be surrounded by retro-inspired cocktail lounges, craft beers, vintage stores and casual cafes.

Highland Park – Next Silver Lake

Highland Park is a bit like the up-and-coming, soon-to-be Silver Lake. Since 2013, it is one of the most up and coming neihgborhoods in the whole of the US. Prices for real estate here are skyrocketing. It is also one of the oldest neighbourhoods in Los Angeles, and is inhabited by a very diverse ethnic mix of people.

Venice Beach – Classic and Iconic

This unique beachfront town in Los Angeles County has sand, surf, and a lot of local color, as well as a booming tech scene. This area has earned the title of “Silicon Beach”, but is also home to the stereotypical Californian beach lifestyle. It is known for its community of artists and quirky stores as well as perhaps the most famous street in the country, Venice Beach Boardwalk. Thanks to the booming LA tech scene, the neighborhood is full of young professionals. Rental prices are comparable to those in West Hollywood, and since the beach is within walking distance, the price tag is well worth it.

Special – Buy Apartment Los Angeles

Los Angeles, where dreams come true. The home of celebrities, hollywood, a sprawling cityscape, beach and surf, and everything else you can imagine. From Malibu to Bel Air, Silver Lake and Venice Beach. It’s worth the traffic and chaos of the metropolis, to experiennce the unique atmosphere of this city. So you want to live in Los Angeles, but don’t know where to start? It’s certainly not easy wrapping your head around where and how to live. Do you choose Mid City or and a retail paradise, or Silver Lake, and hang out with the young students? We give you the full run-down below. The Los Angeles real estate market, like so many of U.S.’ super cities, is doing well. Los Angeles is neither a sellers nor a buyers market. Prices are also increasing, taking single-family residences, by over 16%.

We take care of all questions you could have in our full guide on buying an apartment in Los Angeles

Buy Apartment Los Angeles – Full Simple Guide