LA buyers have more leverage than they think
LA Buyers Have More Leverage Than They Think Right Now
The market has shifted — quietly, but meaningfully. If you've been watching from the sidelines, waiting for a signal to get back in the game, this might be it. Here are three things that are true about the Los Angeles real estate market right now, and what each one means for you as a buyer.
1. Homes Are Sitting Longer
The average home in LA is spending 50–60 days on market in 2026. That might not sound dramatic, but compare it to the frenzy of 2021–2022, when desirable homes in good neighborhoods routinely drew multiple offers within 48 hours — and buyers were waiving every contingency just to stay in the race.
That world is gone, at least for now. Today, buyers who come in prepared with a solid pre-approval and a clear offer have real negotiating room. Sellers who were expecting bidding wars are adjusting their expectations. That gap between expectation and reality? That's your leverage.
2. Contingencies Are Back — Use Them
During the pandemic buying frenzy, inspection waivers were practically required if you wanted to win. At the peak, nearly 1 in 3 buyers waived their inspection contingency entirely.
That number is now closer to 1 in 5 — and falling.
Here's what this means practically: if you're writing offers today, keep your inspection contingency. Not only does it protect you from discovering a $40,000 foundation issue after close, it gives you a post-inspection negotiating window. Sellers are far more willing to agree to credits, repairs, or small price reductions than to restart a deal from scratch with a new buyer.
The inspection period has become one of the most powerful tools available to buyers right now. Use it.
3. Sellers Are Paying to Buy Down Your Rate
With the 30-year fixed hovering around 6.4–6.75%, affordability is still a real challenge — especially in LA where the median home price sits near $910,000. But there's a financing tactic gaining serious traction that most buyers don't know to ask for: the seller-paid rate buydown.
A 2-1 buydown is the most common structure. Here's how it works: the seller contributes funds at closing that temporarily reduce your interest rate — typically 2% lower in year one, 1% lower in year two, then your permanent rate from year three onward. On a $900,000 loan, that structure can save you $12,000–$14,000 in real payments over the first two years.
In a recent Zillow survey, more than one in four buyers successfully negotiated a seller-paid rate buydown. Sellers are increasingly open to these arrangements because it keeps their list price intact while making the home more accessible to buyers. It's a win-win when you know how to ask for it.
The Bottom Line: This Window Won't Stay Open Forever
This is the most buyer-friendly Los Angeles market we've seen since 2019. Inventory is rising (roughly 4.3 months of supply — still below a balanced market, but heading in the right direction), days on market are increasing, and sellers are open to concessions they weren't touching 18 months ago.
But this isn't a crash. Home prices have modestly dipped — about 1.1% year-over-year — but LA's fundamental supply shortage hasn't disappeared. When mortgage rates drop meaningfully, buyers who've been sitting on the sidelines will flood back in, and the leverage window will close fast.
If you've been waiting for the "right time," the honest answer is this: the right time is when you're financially ready and the market is in a reasonable position. Right now, both might be true for you.
Your next move: Start with a pre-approval refresh — rates have shifted enough in the last six months that your qualification picture may look different than it did. Then let's talk about neighborhoods where inventory is running highest and your dollar stretches furthest. Reach out here and let's build your strategy together.
