If you’ve been wondering how the South Bay real estate market is performing in 2026, the short answer is: activity is up, prices are relatively stable overall, and the individual cities are behaving very differently.
Looking at closed sales from January 1 through September 23, 2026 compared with the same period in 2025, closed sales across the seven South Bay cities included in our report increased 6.5% year over year. At the same time, the overall median sale price actually edged down 0.4%.
That is an important reminder that there really isn’t one single “South Bay housing market.”
More South Bay Homes Are Selling
Across the seven cities analyzed, the number of closed sales increased from 1,984 in 2025 to 2,113 in 2026 — an additional 129 sales.
Meanwhile, the combined median sale price moved only slightly, from $1.35 million to $1.345 million.
So while buyers are completing more purchases, that increased activity has not translated into broad price growth across the entire South Bay.
Total sales volume did increase, however, rising from approximately $3.66 billion to $3.94 billion, a gain of 7.7%.
The more interesting story becomes clear when we look city by city.
Manhattan Beach Home Prices Jumped
The median sale price increased from $3.35 million in 2025 to $3,798,500 in 2026, representing a 13.4% year-over-year increase.
Closed sales also increased from 279 to 302, while average days on market improved slightly from 25.5 days to 24.3 days. How is the South Bay Real Estat…
In other words, Manhattan Beach saw both more homes selling and a significantly higher median price.
Redondo Beach: More Sales, Slightly Lower Prices
The Redondo Beach real estate market tells a different story.
The 2026 median sale price came in at $1.55 million, down 2.5% from $1.59 million in 2025.
At the same time, closed sales increased from 519 to 529, while average market time increased from 29.5 to 32.4 days. How is the South Bay Real Estat…
So buyers had slightly more time to make decisions, and more homes ultimately sold, despite the median price being slightly lower.
Torrance Remains Active
In Torrance, the median sale price decreased modestly from $1.075 million to $1.06 million, a decline of about 1.4%.
But sales activity increased considerably, with 785 closed sales compared with 749 during the same period last year.
Average days on market increased only slightly, from 22.6 to 24.3 days.
The takeaway? Torrance buyers are still very active even though prices have essentially remained relatively flat year over year.
Hermosa Beach Saw More Sales and Faster Marketing Times
The Hermosa Beach housing market saw its median increase slightly from $2.5 million to $2.525 million, a gain of approximately 1%.
Closed sales climbed from 125 to 138, while average days on market dropped significantly from 37.8 to 30.4 days.
El Segundo Prices Fell, but Homes Sold Faster
El Segundo had one of the larger year-over-year median price declines in the report.
The median sale price moved from $1,712,500 to $1.6 million, a decrease of 6.6%.
But that doesn’t mean demand disappeared.
Closed sales increased from 76 to 88, and average days on market fell sharply from 36.5 days to 24.9 days.
It’s a great example of why looking at price alone doesn’t give you the full picture of a real estate market.
Hawthorne Was Relatively Stable
In Hawthorne, the median sale price was $899,000, down just 0.6% year over year from $904,000.
Sales increased from 178 to 193, while average days on market dropped from 30.9 to 28.1 days.
In other words, pricing remained nearly flat while buyer activity increased.
Lawndale Saw Significant Growth
Lawndale saw another notable shift.
The median sale price increased from $713,000 to $780,000, representing a 9.4% year-over-year increase.
Closed sales also increased substantially from 58 to 78, while average days on market decreased from 36.2 to 29.8 days. How is the South Bay Real Estat…
Because Lawndale has a smaller number of sales than larger markets like Torrance or Redondo Beach, changes in the mix of homes sold can have a greater impact on the median — but the increase in transactions is still noteworthy.
So, Is the South Bay Real Estate Market Up or Down?
The answer depends on which South Bay city — and sometimes which neighborhood — you’re talking about.
Across the seven cities in this report:
Sales are up 6.5%.
The overall median price is down just 0.4%.
Individual city price trends vary considerably.
Manhattan Beach and Lawndale saw meaningful increases in median prices. Hermosa Beach was slightly higher. Redondo Beach, Torrance, El Segundo and Hawthorne were lower to varying degrees.
That’s why headlines about the broader Los Angeles housing market don’t always tell you what is happening with your specific South Bay home or the neighborhood where you want to buy.
What This Means for South Bay Buyers
For buyers, there may be opportunities in markets where median pricing has softened or homes are spending slightly longer on the market.
But that doesn’t mean every property is negotiable.
A well-priced home in a desirable South Bay neighborhood can still attract significant competition, while an overpriced home may sit.
Looking at the specific neighborhood, comparable sales, property condition and current competition matters much more than relying on a single regional statistic.
What This Means for South Bay Sellers
For sellers, the increase in closed sales is encouraging: buyers are participating in the market.
But pricing correctly from the beginning remains extremely important.
The fact that overall sales increased while the regional median stayed essentially flat means buyers are willing to purchase — but they’re paying attention to value.
And because conditions vary so much between Manhattan Beach, Hermosa Beach, Redondo Beach, Torrance, El Segundo, Hawthorne and Lawndale, your pricing strategy should be based on your hyperlocal market, not a generic South Bay average.
The Bottom Line
The biggest takeaway from the 2026 South Bay real estate market is simple:
The South Bay is not one market.
More homes are changing hands, but price performance varies significantly from city to city. How is the South Bay Real Estat…
If you’re considering buying or selling a home in the South Bay, understanding what’s happening at the city — and ideally neighborhood — level can make a significant difference in the decisions you make.
Want to know what the numbers look like for your neighborhood or what your home could sell for in today’s market? Send me a message. I’m always happy to break down the data for you.