All you need to do is find a market rich in the kind of real estate you need to protect your wealth.
In Los Angeles, West Hollywood is that market.
Why Choose West Hollywood Real Estate?
The economy is facing increasingly dire straits; inflation is ballooning across the globe, bringing the world to the brink of economic recession.
Now is the time to invest in West Hollywood real estate.
Christina has been in the Los Angeles county real estate business for over four decades. The firm’s tenured roster of California real estate professionals has endured and thrived in every kind of market.
They’re eager to get into West Hollywood real estate — here’s why you should be, too.
Where Is West Hollywood?
West Hollywood is centrally located within Los Angeles.
Just at the border of the city’s Westside, West Hollywood straddles the boundaries of L.A.’s bustling downtown scene along Santa Monica Blvd, heading west into the more suburban locations of Beverly Hills and beyond.
Surrounding neighborhoods include Hollywood to the east, La Brea to the south, Laurel Canyon to the north, and Beverly Hills to the west. West Hollywood rests in the middle of L.A.’s most iconic neighborhoods.
Its borders go from Fountain Ave to the Sunset Strip on the north until it reaches Doheny Drive, which makes up its most extensive western border. Its longest southern border is Beverly Blvd, followed by a grouping of streets closer to Santa Monica Blvd, eventually making their way to La Brea Ave.
Why Do People Move to West Hollywood?
Real estate investors look for any indication that points to the potential of a real estate market. Residents that move to neighborhoods like West Hollywood see something in the area that investors might miss.
Becoming familiar with the appealing components of a high-value neighborhood like West Hollywood provides deeper insights into its current performance and future potential.
Here are three primary reasons people move to WeHo:
- It’s at the center of L.A.’s entertainment industry.
- There’s plenty to do in the neighborhood.
- It’s in a good location.
Why Is West Hollywood Great for the Entertainment Industry?
Los Angeles as a whole is deeply associated with the entertainment industry. When people think of the sunny skies and towering palm trees of Los Angeles, the glitz and glamor of the film industry inevitably come to mind.
Few neighborhoods in the city capture that star-power appeal like West Hollywood, which gives it a distinct advantage as a real estate market.
The Sunset Strip in West Hollywood is home to famous entertainment venues that draw in big-name acts and locals looking to get their name in lights. From rock clubs to comedy clubs to theaters, West Hollywood is home to critical venues that help draw thousands of visitors.
With nearby film studio presences in Studio City and Culver City, West Hollywood is at the center of the Los Angeles entertainment scene.
West Hollywood Is a Hub for Entertainment Professionals
Millions have moved to Los Angeles to work in entertainment. West Hollywood is a seminal neighborhood for aspiring entertainers and established legends alike.
People move here to be close to the action, and tourists spend their money at local businesses to see talent taking the stage on the Sunset Strip.
With so much industry activity in West Hollywood, this neighborhood draws in a significant crowd, boosting the property’s value for residences and commercial spaces.
What Is There To Do in West Hollywood?
West Hollywood has a nearly limitless amount of things to do.
For one, it has some of the best nightlife opportunities in Los Angeles. The entertainment offerings in West Hollywood include plenty of late-night activities for residents and tourists. Visitors can find concerts, movies, and comedy shows up and down the Sunset Strip.
With such a solid cultural buzz in West Hollywood, the neighborhood has become just as bright a beacon for a vibrant culinary scene.
World-class restaurants have been set up along West Hollywood’s legendary streets; chic food trucks serve as four-star street fare. Los Angeles’ hottest bars and clubs are scattered throughout the neighborhood.
West Hollywood’s Attractions Make for a Bustling Real Estate Market
West Hollywood draws in crowds of Los Angeles locals and tourists day and night all year.
It’s one of the city’s most buzzing locales because there’s so much to do. As a result, West Hollywood has the advantage of high circulation of capital spending at its many clubs, restaurants, and other attractions.
With so much cash flowing through the area, people clamber to be at the center of this vibrant neighborhood, making for an equally competitive real estate market.
Why Is West Hollywood Such a Great Location?
There’s a reason West Hollywood has become a hub for so many attractions: It’s centrally located between the Westside region and downtown Los Angeles.
West Hollywood follows along Santa Monica Blvd, a key arterial route connecting the coastal part of the city with downtown. People going to and from the sunny beaches in Santa Monica and Venice likely pass through the area.
Businesses and entertainment emerged in the area because West Hollywood is a nexus in this neighborhood.
West Hollywood’s Prime Location Means Prime Real Estate
Real estate’s most key influence is location. Property in rural, upstate New York will be far less valuable than a space on the Sunset Strip in West Hollywood.
West Hollywood has become a central attraction in Los Angeles due mainly to its location. Property values reflect that as people and businesses compete for real estate in this ideal location.
Want to learn more about the factors that drive property value? Check out our educational resources to familiarize yourself with real estate investing best practices.
What Are the Population Demographics of West Hollywood?
Effective real estate investing requires an in-depth knowledge of a given market. Understanding West Hollywood real estate requires an understanding of the people that call West Hollywood home.
Here are key population demographics of West Hollywood that inform its market potential.
Population
West Hollywood has 35,506 residents. With so many residents in moderately sized neighborhoods, population density in West Hollywood is higher than some of its less densely populated neighbors.
The median age leans towards middle-age, about 39 years old. The majority of people have never married, 61%. 24% of people are married, indicating that younger, single people make up a substantial portion of the population.
Very few households have children in West Hollywood, only 4%. Most new construction, open houses, and real estate listings aren’t single-family homes but non-family units like townhouses.
Income
West Hollywood residents are on the rise when it comes to annual income. The average yearly income is $106,225, up 1.3% from last year.
As residents approach their middle age, they tend to generate more income. The most affluent age bracket is 25 to 44-year-olds, earning a median of about $91,000.
Income stats are rising as residents appear to be earning more than before, which may indicate a boost to the property value in West Hollywood.
Employment
The vast majority of the West Hollywood workforce do white-collar work: 94%. The remaining 6% of the workforce are blue-collar workers.
Of those white-collar workers, 66% work in the private sector. 22% are self-employed entrepreneurs, 6% work for non-profits, and 5% work for the government.
Fair housing initiatives and equal housing opportunities pave the way for people with less income to live in WeHo.
What Are the Real Estate Trends in West Hollywood?
Property Value
The median listing price for West Hollywood homes is $1,200,000. As of June 2022, median prices are up 24.3% from last year; realty in West Hollywood has exploded.
The sales price of new listings has exceeded the list price by about 2%, and they’re sometimes as high as 5% over.
Homes are selling reasonably competitively in West Hollywood. Getting in early could give investors an excellent opportunity to profit quickly on rising prices.
Number of Housing Units
West Hollywood has 25,501 units of housing, 22,854 of which are occupied.
The overwhelming majority of housing units in West Hollywood are rentals at 80%. Homeowners occupy the remaining 20%. With such a robust rental market in the area, rental properties in the area are a hot commodity, making them a high potential investment.
Development of new housing units is minimal.
Most homes were built in the 60s and 70s, with 5,471 units and 5,400 units, respectively. Since then, housing development has declined sharply. Only 902 units were built in the 2010s. While that’s not a lot of square footage, keep in mind that there aren’t many lots with substantial sqft left for development.
Strong demand for rental units with a low supply of new units makes for an ideal scenario to grab available rental properties.
Average Listings and Days on the Market
There are currently 201 homes for sale in West Hollywood and 233 housing units available for rent.
West Hollywood homes sell after 38 days, down from 64 days a year ago. Houses are going almost twice as fast, with little sign of slowing down.
The market is moving fast in West Hollywood as the average listings dwindle along with the average days on the market. Now may be the time for investors looking for the ideal time to get into this hot market.
What’s the Future of West Hollywood Real Estate?
Based on current trends, the West Hollywood real estate market is rising.
Property values are up, and the average days on the market are down. With few new units being added to the total housing supply in the area, trends strongly indicate that West Hollywood will continue its climb for the foreseeable future.
West Hollywood is a cultural hotspot and, consequently, an economic powerhouse for Los Angeles. It’s a city’s primary tourist attraction and the main draw for local nightlife.
Its position as a staple Los Angeles neighborhood means that it has the kind of high-value real estate that can weather economic downturns that may be in store for the future.
Invest With the Best
Including high-value real estate assets in your portfolio is a must. But actually, doing so can be difficult on your own.
By investing with Christina, you’re not just gaining access to a broader pool of assets; the team at Christina has the skill set, knowledge, and network to make effective and successful decisions in the most competitive markets in Los Angeles.
Invest with Christina today and protect your portfolio tomorrow.
**Disclaimer: Christina is an investment firm, not a realtor service or brokerage firm.
Sources:
Why Is Inflation So High? | Forbes Advisor
West Hollywood Demographics | Point2Sales
West Hollywood Housing Market | Redfin
West Hollywood, CA Real Estate & Homes for Sale | Realtor.com
West Hollywood, CA – Apartments and Houses for Rent | Realtor.com