Palos Verdes Real Estate Market Update: October 2026

(The information below is for reference only based on research and personal experience, it is NOT meant to be legal, financial, or tax advice. I can refer you to any of those professionals so feel free to reach out.)

Watch the full update on YouTube: https://youtu.be/fz6jJG_Js40

How is the Palos Verdes real estate market doing in October 2026?

It is running at two speeds. Over the last 12 months Palos Verdes had 680 closings, total dollar volume rose about 13%, and the median price stayed roughly flat at about $1.95 million. Under $3 million, about three out of four houses sold on the first listing. Roughly half of homes listed over $3 million did not sell on the first try, and 40% of active listings have taken a price cut.

By Ben Larson | October 18, 2026

Higher rates since February changed the market. Cash buyers kept going. Everyone using a loan felt it. Here is what I am seeing, where homes are selling, where they are stuck, and what I would do if you are thinking about listing.

The 12 month scoreboard

Buyers showed up fast in the spring. Homes that closed in May took a median of 11 days on the market. In June it was about 13 and a half days. September closings took a median of 28 and a half days, more than double May.

The last 90 days still look better than a year ago. Homes sold in about 21 days versus 28 days last year, and closed at 97.3% of original list price versus 95.8%. Those are mostly buyers who locked in earlier. The slowdown shows up in new contracts.

Here is the last 12 months across PV:

• 680 closings, up from 667 the year before
• About $1.62 billion in total volume, up from $1.43 billion, about 13% higher
• Median price about $1.95 million, roughly flat
• Houses up 3.6% to a median of $2.2 million
• Condos and townhomes down about 8%

More dollars, flat prices. Houses held up. Condos and townhomes slipped.

By price range

• $1 million to $2 million: only about 1.6 months of supply. That is tight.
• $2 million to $3 million: the fastest moving range, with a median of 17 days. About four in ten houses sold at or above original list price, with about three months of supply.
• $3 million to $5 million: took the biggest hit. About 57% sold on the first listing.
• Over $5 million: 41 closings versus 19 the year before, more than double. Four sold over $10 million, versus zero the year before.

Palos Verdes by city

These numbers are from the last 12 months of closings.

• Rancho Palos Verdes: 380 sales, the biggest area. Median about $1.75 million, 23 days on market, closed at 97% of original list price. About a quarter of buyers paid all cash.
• Palos Verdes Estates: 142 sales, median about $2.9 million, and 45% of buyers paid all cash, the highest cash share of the PV cities. I had a sale in Lunada Bay that closed at $2.885 million, right near that median.
• Rolling Hills Estates: 101 sales, median about $1.73 million, 25 days on market, and homes closed at 98.5% of original list price. That is the strongest price performance of the larger cities.
• Rolling Hills: 19 sales, median about $5.1 million, 58 days on market, closed at 92% of original list price.
• Unincorporated PV: 35 sales, median about $2.2 million, a median of just 10 days, at 99.5% of list price.

Rolling Hills and unincorporated PV are small sample sizes. Do not read too much into those numbers.

The top of the market

Above $5 million, about half of buyers paid all cash. Demand is up. But only 36% of $5 million plus house listings sold on the first listing. The median one took 60 days and closed at about 92.6% of original list price. Only about one in five sold at or above list. Right now there are 38 listings above $5 million, and 24 of them have been on the market more than 90 days.

Both things are true. More buyers at the top, and those buyers take their time and negotiate harder.

The $3 million to $5 million squeeze

In this range, 53% of buyers use a loan. In the $1.5 million to $3 million range, 75% do. Higher payments hit loan buyers first, and it shows. There is no magic price inside this band. $3 million to $3.5 million, $3.5 million to $4 million, and $4 million to $5 million all sell at roughly the same rate, about 55% to 59% on the first listing. You can browse what is on the market now in the $3 million to $5 million range.

Price cuts, condos, and off market sales

Right now, 40% of active listings in PV have been cut. The median cut is about 5.8%, around $100,000. Timing matters:

• Only 8% of listings are cut in the first 30 days
• From day 31 to 60, 24% have been cut
• From day 61 to 90, nearly two thirds have been cut

In the $3 million to $5 million range, 15 of 29 active listings have been cut, at a median of 7.8%.

The price you launch at is the price the market tests. If you come out too high, you usually end up cutting by more than if you had started at the right price.

Why condos are the soft spot

The PV condo median is $725,000, down from $785,000. Days on market went from 26 to 45. Statewide, condos have 4.7 months of supply versus 3.7 for houses.

Some buildings in other parts of the South Bay levied special assessments of $26,000 to $49,000 per unit. Since August 3rd, Fannie and Freddie review condo projects more strictly, and more changes take effect January 1st around insurance deductibles and reserves. Underfunded HOAs will have a hard time. Buildings with strong HOAs, like the one at my Ridgebluff listing in Ridgegate, should see more demand because they are easier to finance. If you are watching Palos Verdes condos, the HOA's health matters more than ever.

Off market sales

I looked at a title company report of recorded transfers for August. Five PV properties changed hands off the MLS, about $11.5 million in all, compared to 65 MLS closings at about $223 million. That is roughly 7% of transactions and about 5% of dollars.

One home traded at $900,000 on August 26th. Two days later it sold again at $1.15 million. That is $250,000 more in two days. Another went from $1.3 million to $1.39 million in three days. A third sold for $1.225 million, was listed again 12 days later at $1.55 million, and then was withdrawn.

What is usually happening is homeowners selling to investors and leaving money on the table. Investors often offer 60% to 70% of what a home is worth. Before you take a quick cash offer, talk to me. I have a program that can get you access to most of your equity, fix the home up, and sell it on the open market. I wrote more about selling off market and when it makes sense.

How I would handle a listing right now

1. Price it to win the first 30 days. Listings that miss the first month usually cut anyway, and usually by more.

2. Time it. In 2026, March listings sold within 30 days 53% of the time, versus 40% in 2025. April and May were 43% versus 31%. My best window most years is March through early May. Second best is mid-September. Under $3 million, January performs well too. November and December are the slowest, with about 29% selling within 30 days. One small thing: Thursday listings sold within 30 days about half the time, versus 29% to 41% for other days. Thursday is when I put my listings on the market.

3. Prep before you list. Get an insurance quote before you list. The California FAIR Plan has an average increase of 29.1% starting October 15th, and buyers and lenders will check. If you own a condo, gather the reserve study, master insurance details, and assessment history. The homes selling quickly are priced right and in good condition. Move in ready, and they show well.

The Portuguese Bend landslide

Portuguese Bend is moving about 0.81 inches per week, down about 92% since the dewatering. Homes in the significantly affected areas have been hit hard, which is really unfortunate. Outside the slide areas, it mostly comes up in buyer questions and disclosures. It is not affecting PV in general. With El Niño expected to bring a lot of rain, I am watching that area closely.

The 2027 forecast

The California Association of Realtors forecasts 2026 sales to end down 1.1%, with the median price up about 0.8%. For 2027 it forecasts a modest recovery, with sales up 3.7% and prices up 1.4%. Waiting for much higher prices probably is not a good plan.

Frequently Asked Questions

Is it a good time to sell a home in Palos Verdes?

It depends on price range. Under $3 million, about three out of four houses sold on the first listing over the last 12 months. Above $3 million, buyers negotiate harder, so pricing right from day one matters most.

How many Palos Verdes listings have had a price cut?

About 40% of active listings in PV have been cut, with a median cut of about 5.8%. In the $3 million to $5 million range, 15 of 29 active listings have been cut at a median of 7.8%.

What is the best month to list a home in Palos Verdes?

Most years, March through early May is the strongest window, and mid-September is second best. Under $3 million, January also performs well. November and December are the slowest.

Why are Palos Verdes condos selling slower?

The PV condo median fell to $725,000 from $785,000, and days on market went from 26 to 45. Stricter condo project reviews since August 3rd and special assessments at some buildings shrink the buyer pool, especially for buildings with deferred maintenance.

Is the Portuguese Bend landslide affecting all of Palos Verdes?

No. Homes in the significantly affected areas have been hit, but outside the slide areas it mostly comes up in buyer questions and disclosures. Movement is about 0.81 inches per week, down about 92% since the dewatering.

What this means for you

Cash buyers are driving the top end. Everyone using a loan is paying more. The homes that sell are priced right from day one and in good condition.

If you want to know what your place is worth right now, start with a free home evaluation, book a free consultation at this link, or call or text me at 310-400-0536. I put out a new South Bay market update every month, so subscribe to the channel to catch the next one.

About Ben Larson
Ben Larson leads Larson Realty Group and helps buyers and sellers across the South Bay and the Palos Verdes Peninsula make clear decisions with real tours, straight talk, and local market context. DRE #01746853. Call or text 310-400-0536 or email Ben@LarsonRealty.Group.