Co-Founder and principal of The Eighty Two Group @ Compass
Working from home has become the new norm and is no longer the exception. Many companies, like Amazon, are extending their work-from-home policies until next year, and some, like Facebook, are extending it indefinitely. Because of this, homebuyers in Los Angeles today have a lot more flexibility in where they can live. No longer are they forced to live in the immediate radius around Downtown, Century City or Silicon Beach in order to avoid a grueling commute every day. Where are they moving to? We are seeing increasing activity in the five following cities and neighborhoods around Los Angeles from prospective homebuyers who had not considered these areas before.
Buyers wanting to live close to the beach were previously limited to Santa Monica, Venice or Manhattan Beach. With the ability to work remotely, many are moving to Long Beach, considered to be the last affordable beach city in Southern California. Beach lovers can enjoy miles of sand and sun and a bay that is perfect for families with children. Though further distance-wise than the other beach cities, its quick access to 110 and 710 freeways allows Long Beach residents to drive north to Downtown Los Angeles in roughly the same amount of time. The newly built Gerald Desmond Replacement Bridge, which is scheduled to have a virtual opening celebration due to Covid-19, will provide residents even quicker access to the 710 freeway.
Even before the pandemic, East Los Angeles had been seeing a lot of growth. With nearby neighborhoods in Northeast Los Angeles such as Glassell Park and Mount Washington experiencing heavy price increases in the past few years, many millennial homebuyers have started looking in East Los Angeles. Homes in neighborhoods like City Terrace offer sweeping views of the city at a much lower cost. New affordable housing developments are also underway, providing much-needed relief for the housing shortage in and around the area.
Ever since it was announced as the site of the new Rams Stadium, Inglewood has attracted investors hoping to cash in on the proposed development in the area. With this comes controversy, with minority residents concerned about the gentrification of the city. An organization called Buy the Block LA hopes to “educate residents of South LA for free on financial literacy and homeownership while also fighting gentrification.” With ongoing developments like the stadium, shopping centers and the 8.5-mile Crenshaw/LAX line, Inglewood is likely to continue the growth that it has been experiencing these past few years.
With increasing prices and worsening traffic from the Valley, many homebuyers looking for a suburb have set their sights on Downey, just a few miles southeast of Los Angeles. Properties in Downey tend to have bigger square footage and lot size than those in the city. This, along with highly rated schools, makes this area very desirable to families with school-aged children.
Rancho Palos Verdes
Buyers in the multimillion-dollar price point looking for an alternative to the Pacific Palisades are now considering Rancho Palos Verdes. Described as the hidden coastal gem of Los Angeles County, this secluded neighborhood is a sanctuary away from the hustle and bustle of Los Angeles. Rancho Palos Verdes offers similarly gorgeous views of the Pacific Ocean and walking trails with stunning cliff views. Its distance from major freeways helps keep this verdant neighborhood feel very secluded. It is also home to Terranea, a 102-acre resort serving as the area’s largest employer.
Today’s technology has allowed many workers to work from anywhere they want. With buyer search parameters wider than ever, these neighborhoods are seeing an influx of prospective buyers who hadn’t considered them before. If this pattern continues, we may see previously hot Los Angeles neighborhoods, such as those in the west side, cool off while these neighborhoods see an increase in home prices and buyer activity.