Buying property in Los Angeles: how it works

From offer to closing

After your offer is accepted, an escrow company holds the deposit and documents while inspections, disclosures, the appraisal and financing are completed. A title company checks and insures the title. At closing, the deed is recorded with the LA County Recorder.

Transfer taxes in Los Angeles

The LA County Recorder collects a documentary transfer tax of $0.55 for each $500 of value ($1.10 per $1,000). Five cities add their own tax: Culver City, Los Angeles, Pomona, Redondo Beach and Santa Monica.

The City of Los Angeles charges $2.25 for each $500 and, under Measure ULA, an extra 4% of the total value for sales above $5,400,000 but below $10,900,000, and 5.5% at $10,900,000 or more, for transactions closing after 30 June 2026. The thresholds are adjusted each year. Beverly Hills and Malibu are separate cities that are not on the Recorder’s list of cities with their own rates.

Buying from abroad

Foreign nationals can buy property in California. When a foreign owner later sells, US tax rules (FIRPTA) generally require part of the sale price to be withheld. Take advice from a California real estate attorney and a tax adviser in both countries.

Insurance and the hills

In hillside and coastal areas, ask early about home insurance and fire-safety rules, especially in areas affected by the January 2025 fires, where rebuilding and permits are ongoing.

Where people buy

See our property guide for Beverly Hills, Bel-Air and Holmby Hills, the Hollywood Hills, Santa Monica and Malibu. We don’t publish price estimates.

Questions and answers