Santa Monica, CA 90405 Real Estate Market Report

Market Overview

This analysis is based on a sample of properties from this ZIP code (up to 200 sold properties and up to 100 active properties). The median prices below are calculated from all available properties in the sample, while trend analysis uses properties from the selected analysis window.

Market Metrics

The property counts shown above represent only the properties analyzed in this report sample, not the total inventory for this ZIP code. Median prices are calculated from all available properties in the sample, while trend analysis uses properties from the selected analysis window.

Rental Market

Note: The relationship between property values and rental rates reflects different market dynamics. Higher-priced properties may have lower rental yields due to factors such as luxury market positioning, owner-occupancy preferences, or long-term appreciation strategies rather than immediate rental income maximization.

Property Taxes

Liquidity & Velocity

Market Trends & Context

Note: Interest rate comparisons provide market context. The existing "Interest Rate Pressure" metric above shows the qualitative market impact.

Key Findings

1. $2,149,000 median sold price anchors the neighborhood valuation and signals realized transaction levels; with a median days on market of 329, this appears to reflect slower sales velocity and a balanced but deliberate transaction pace that may require patience from sellers and buyers.
2. There is a meaningful spread between the $1,975,000 median listing price and the $2,149,000 median sold price, which suggests some sellers are pricing below recent closed transactions or that representative recent sale mix includes higher-end closings; market participants should monitor new listings for pricing friction and alignment with recent sales.
3. Price momentum is positive with an upward price trend and a median price per square foot of $1,504, indicating continuing modest appreciation; combined with a neutral market temperature, this suggests stable conditions where negotiated deals, not bidding wars, will likely determine outcomes.
4. Rising financing pressure—characterized by elevated interest rate pressure and current 30-year fixed mortgage rates near 6.65%—coupled with rents trending down and a median market rent of $3,200, may constrain some buyer purchasing power and favor buyers who can finance or transact with stronger cash positions; lenders and investors should underwrite conservatively given the elevated rate environment.

Notable Properties

The following 8 properties represent notable market examples and recent transactions that illustrate key market dynamics. These are illustrative examples selected for their significance (top sales, market benchmarks, quick sales) and are not the basis for the statistical calculations shown above.