Los Angeles Buyers Pay Cash in 1 in 4 Deals, Celebs Fuel Surge
The Rise of Cash Purchases in Los Angeles Unprecedented trends are shaking the foundation of the Los Angeles housing market. A significant number of homebuyers are increasingly relying on cash transactions. Approximately 25.4% of purchases in the first five months of 2025 were cash-based. This sets a decade-long high for cash transactions. The surge in cash purchases exacerbates the disconnect between housing affordability and traditional financing. With a median home list price reaching $1.18 million, affordability remains a colossal challenge. High home prices continue to price many out of the market, exacerbating affordability challenges. Many regions are facing significant declines in housing affordability as prices rise, further impacting prospective buyers. This is particularly true for those dependent on loans. The trend of wealthy cash buyers skews the market dynamics. It isolates those sensitive to interest rate changes and economic uncertainties. These dynamics reflect a bi...