# Buying a home in Los Angeles: loan limits, Measure ULA and LAHD help

> Los Angeles mortgage numbers: a $948,000 median home, LA County loan limits, the city transfer tax and Measure ULA, and LAHD buyer loans.

URL: https://mortgage-math-us.com/location/los-angeles-ca/  
Last reviewed: 2026-10-29 · By the MortgageMath US Editorial team

## Quick answer

The median owner-occupied home in the City of Los Angeles is worth $947,900, about 11.5 times the median household income. With 10% down at the 7.24% national average rate, it costs about **$7,141 a month** with property tax, insurance and PMI — and the $853,110 loan fits under Los Angeles County’s $1,249,125 conforming limit. The city charges a 0.45% transfer tax, and income-qualified first-time buyers can borrow up to **$161,000** through LAHD’s LIPA program.

## Key facts

| Fact | Value | Source | As of |
|---|---|---|---|
| Median home value, Los Angeles | $947,900 | [US Census Bureau, American Community Survey 2024 1-year](https://data.census.gov/table/ACSDT1Y2024.B25077?g=160XX00US0644000) | 2024 ACS 1-year |
| Median household income | $82,263/yr | [US Census Bureau, American Community Survey 2024 1-year](https://data.census.gov/table/ACSDT1Y2024.B19013?g=160XX00US0644000) | 2024 ACS 1-year |
| Effective property tax rate | 0.65% | [US Census Bureau, American Community Survey 2024 1-year](https://data.census.gov/table/ACSDT1Y2024.B25103?g=160XX00US0644000) | 2024 ACS 1-year |
| Homes lived in by their owners | 35.9% | [US Census Bureau, American Community Survey 2024 1-year](https://data.census.gov/table/ACSDT1Y2024.B25003?g=160XX00US0644000) | 2024 ACS 1-year |
| 2026 conforming limit, LA County | $1,249,125 | [FHFA: Conforming Loan Limit Values](https://www.fhfa.gov/data/conforming-loan-limit) | 2026 |
| City transfer tax, base rate | 0.45% | [City of Los Angeles Office of Finance: Real Property Transfer Tax and Measure ULA FAQ](https://finance.lacity.gov/faq/measure-ula) | Jul 1, 2026 |
| LAHD LIPA loan, up to | $161,000 | [Los Angeles Housing Department: Programs for First Time Homebuyers (2026)](https://housing.lacity.gov/wp-content/uploads/2023/04/Eng-FTHB-Booklet.pdf) | 2026 booklet |

## Los Angeles prices against California and the US

The median Los Angeles home is worth $947,900, the third-highest among the 20 large cities we cover, and the ratio of value to income is the highest. Renters outnumber owners in Los Angeles: 35.9% of occupied homes are owner-occupied, compared with 55.8% across California.

*City of Los Angeles compared with California and the US (Census ACS 2024 1-year)*

| | Los Angeles | California | United States |
|---|---:|---:|---:|
| Median home value | $947,900 | $759,500 | $360,600 |
| Median household income | $82,263 | $100,149 | $81,604 |
| Home value ÷ income | 11.5× | 7.6× | 4.4× |
| Effective property tax rate | 0.65% | 0.71% | 0.89% |
| Median property tax paid | $6,146 | $5,369 | $3,211 |
| Median gross rent | $1,958/mo | $2,104/mo | $1,487/mo |
| Median year built | 1965 | 1977 | 1981 |

The tax ratio is below the national 0.89%, yet because values are so high the median bill is higher than the US median. Figures cover the City of Los Angeles only, not the other cities of Los Angeles County.

## Conforming or jumbo in Los Angeles County?

Fannie Mae and Freddie Mac buy loans up to a county limit set each year by FHFA. The 2026 baseline is $832,750, but Los Angeles County is a high-cost area with a one-unit limit of $1,249,125.

A 10% down payment on the median home leaves a $853,110 loan — above the national baseline but within the Los Angeles County limit, so it can still be a conforming “high-balance” loan rather than a jumbo. With 10% down you could buy up to about $1,388,000 before the loan crosses the county limit. Above it, you need a [jumbo loan](https://mortgage-math-us.com/loan-types/jumbo-loans/), which usually means stricter reserve and down-payment rules set by each lender.

## A month in a median-priced LA home

> **Worked example: $947,900 home (the city’s median), 10% down, 30-year fixed at 7.24%**
>
> | Part of the payment | Monthly |
> |---|---:|
> | Principal and interest on $853,110 | $5,814 |
> | Property tax at 0.65% | $513 |
> | Homeowners insurance at $4.90 per $1,000 (national average) | $387 |
> | PMI (midpoint of Freddie Mac’s range) | $427 |
> | **Total** | **$7,141** |
> 
> Insurance here uses Freddie Mac’s national figure; fire-zone homes can cost far more to insure.

On the city’s median household income of $82,263, Freddie Mac’s 30% guideline gives a housing budget of $2,057 a month, which supports about **$273,000** at today’s rate with 10% down — $674,900 short of the median. Paying for the median home within that guideline takes an income near $286,000. Try other prices in the [payment calculator](https://mortgage-math-us.com/tools/mortgage-payment-calculator/?price=948000&down=10&tax=0.65&state=CA).

## The City of Los Angeles transfer tax and Measure ULA

California has no state transfer tax, but counties and cities can levy one. Inside the City of Los Angeles, the Office of Finance collects a base tax of 0.45% — $4,266 on the median-priced home — on top of the county’s own documentary transfer tax.

Measure ULA adds a second layer on expensive sales: 4% on top of the base tax for sales above $5,400,000, and 5.5% at $10,900,000 or more. The rate applies to the whole price, not just the part above the threshold, so a sale just over the first line owes about $216,000 more than one just under it. The thresholds are 5.7 times the median value and are adjusted each July for inflation, so they touch only the top of the market. Who pays the tax is a matter for the purchase contract; see [closing costs](https://mortgage-math-us.com/buying/closing-costs/) for the rest of the bill.

## LIPA and MIPA: LAHD purchase assistance

The Los Angeles Housing Department lends first-time buyers (no ownership interest in the past 3 years) money for the down payment, closing costs and acquisition:

| | LIPA (low income) | MIPA (moderate income) |
|---|---|---|
| Loan, up to | $161,000 | $115,000 |
| Income limit, one person | $93,300 | $128,300 |
| Maximum purchase price | $956,465 | $956,465 |
| Terms | Interest-free, no monthly payments, shared appreciation; due on sale, transfer, payoff or at the end of the term | Same |

You need at least 1% of the price as your own down payment and an 8-hour homebuyer education course. The citywide median value sits just under the price cap. LAHD says it uses a modified loan reservation process because resources are limited, so ask a participating lender about current availability before you make an offer.

> **Note: What LIPA can stretch to**
>
> A one-person household earning exactly $93,300, using the full LIPA loan and the minimum own down payment, could afford a price of about **$446,000** within Freddie Mac’s 30% guideline at today’s rate — far more than the $273,000 the same rules give a median-income household with no help.

## Wildfire, earthquakes and the FAIR Plan

Lenders require hazard insurance, and in fire-prone hillside and canyon areas a standard policy can be hard to find. The California Department of Insurance describes the California FAIR Plan as the insurer of last resort, to use only after searching the regular market. It covers fire, lightning, internal explosion and smoke, but not theft or liability, so FAIR Plan owners can add a difference-in-conditions policy to fill the gaps. Standard homeowners policies generally exclude earthquake damage; quake coverage is sold separately. Get quotes during escrow, not after.

Compare the numbers with [San Diego](https://mortgage-math-us.com/location/san-diego-ca/) or [Seattle](https://mortgage-math-us.com/location/seattle-wa/), and see the [California guide](https://mortgage-math-us.com/location/california/) for CalHFA programs. The [rent vs buy calculator](https://mortgage-math-us.com/tools/rent-vs-buy-calculator/?state=CA&price=948000&rent=1958&tax=0.65) starts from the city’s median rent of $1,958/mo.

## Frequently asked questions

### What is the transfer tax in the City of Los Angeles?

The Office of Finance charges a base tax of 0.45% of the price. Measure ULA adds 4% on sales above $5,400,000 and 5.5% at $10,900,000 or more. The county’s documentary transfer tax is separate.

### Does Measure ULA apply to my home purchase?

Only if the price is above $5,400,000, the threshold for transactions closing after June 30, 2026. The median city home is worth $947,900, so most buyers pay only the base city tax.

### What is the conforming loan limit in Los Angeles County?

For 2026, FHFA set the one-unit limit at $1,249,125, above the $832,750 national baseline. Larger loans are jumbo loans.

### How much income do you need to buy a home in Los Angeles?

For the median $947,900 home with 10% down at today’s average rate, keeping housing under 30% of gross income takes about $286,000 a year. The median household in the city earns $82,263.

### Does Los Angeles have a first-time homebuyer program?

Yes. LAHD’s LIPA program lends up to $161,000 and MIPA up to $115,000, both interest-free with no monthly payments, for homes up to $956,465. Funding is limited and handled through loan reservations.

### What is the California FAIR Plan?

It is the state’s insurer of last resort for property owners who can’t get coverage in the regular market. It covers fire and a few related perils, so owners can add a difference-in-conditions policy for the rest.

## Sources

- [Freddie Mac Primary Mortgage Market Survey](https://www.freddiemac.com/pmms) — 30-year fixed rate, national weekly average (Week of Oct 29, 2026)
- [US Census Bureau, American Community Survey 2024 1-year](https://data.census.gov/table/ACSDT1Y2024.B25077?g=160XX00US0644000) — Median value of owner-occupied homes (2024 ACS 1-year)
- [US Census Bureau, American Community Survey 2024 1-year](https://data.census.gov/table/ACSDT1Y2024.B19013?g=160XX00US0644000) — Median household income (2024 ACS 1-year)
- [US Census Bureau, American Community Survey 2024 1-year](https://data.census.gov/table/ACSDT1Y2024.B25103?g=160XX00US0644000) — Effective property tax rate (median taxes ÷ median home value); Median real estate taxes paid by homeowners (2024 ACS 1-year)
- [US Census Bureau, American Community Survey 2024 1-year](https://data.census.gov/table/ACSDT1Y2024.B25064?g=160XX00US0644000) — Median gross rent (2024 ACS 1-year)
- [US Census Bureau, American Community Survey 2024 1-year](https://data.census.gov/table/ACSDT1Y2024.B25003?g=160XX00US0644000) — Share of occupied homes lived in by their owners (2024 ACS 1-year)
- [US Census Bureau, American Community Survey 2024 1-year](https://data.census.gov/table/ACSDT1Y2024.B25077?g=040XX00US06) — Median value of owner-occupied homes (2024 ACS 1-year)
- [US Census Bureau, American Community Survey 2024 1-year](https://data.census.gov/table/ACSDT1Y2024.B19013?g=040XX00US06) — Median household income (2024 ACS 1-year)
- [US Census Bureau, American Community Survey 2024 1-year](https://data.census.gov/table/ACSDT1Y2024.B25103?g=040XX00US06) — Effective property tax rate (median taxes ÷ median home value); Median real estate taxes paid by homeowners (2024 ACS 1-year)
- [US Census Bureau, American Community Survey 2024 1-year](https://data.census.gov/table/ACSDT1Y2024.B25077?g=010XX00US) — Median value of owner-occupied homes (2024 ACS 1-year)
- [US Census Bureau, American Community Survey 2024 1-year](https://data.census.gov/table/ACSDT1Y2024.B19013?g=010XX00US) — Median household income (2024 ACS 1-year)
- [US Census Bureau, American Community Survey 2024 1-year](https://data.census.gov/table/ACSDT1Y2024.B25103?g=010XX00US) — Effective property tax rate (median taxes ÷ median home value); Median real estate taxes paid by homeowners (2024 ACS 1-year)
- [Freddie Mac Research](https://www.freddiemac.com/research/insight/homeowners-insurance-costs) — Average homeowners insurance premium per $1,000 of home value (2023 data)
- [Freddie Mac My Home](https://myhome.freddiemac.com/buying/breaking-down-pmi) — Typical PMI cost, low end; Typical PMI cost, high end (Oct 28, 2026)
- [Freddie Mac My Home](https://myhome.freddiemac.com/blog/homebuying/how-much-can-you-afford) — Freddie Mac guidance: housing costs below this share of gross income (Jan 22, 2026)
- [FHFA](https://www.fhfa.gov/news/news-release/fhfa-announces-conforming-loan-limit-values-for-2026) — 2026 baseline conforming loan limit (one-unit) (2026 limit)
- [FHFA: Conforming Loan Limit Values](https://www.fhfa.gov/data/conforming-loan-limit) — Conforming loan limit, Los Angeles County (one unit) (2026)
- [City of Los Angeles Office of Finance: Real Property Transfer Tax and Measure ULA FAQ](https://finance.lacity.gov/faq/measure-ula) — City of Los Angeles real property transfer tax, base rate ($2.25 per $500); Measure ULA tax applies to City of Los Angeles sales above; Measure ULA tax on sales above $5.4 million and under $10.9 million, on top of the base tax (Jul 1, 2026)
- [Los Angeles Housing Department: Programs for First Time Homebuyers (2026)](https://housing.lacity.gov/wp-content/uploads/2023/04/Eng-FTHB-Booklet.pdf) — LAHD Low Income Purchase Assistance (LIPA), up to; LIPA and MIPA maximum home purchase price; LIPA income limit, one-person household (2026 booklet)
- [US Census Bureau, American Community Survey 2024 1-year](https://data.census.gov/table/ACSDT1Y2024.B25003?g=040XX00US06) — Share of occupied homes lived in by their owners (2024 ACS 1-year)
- [US Census Bureau, American Community Survey 2024 1-year](https://data.census.gov/table/ACSDT1Y2024.B25064?g=040XX00US06) — Median gross rent (2024 ACS 1-year)
- [US Census Bureau, American Community Survey 2024 1-year](https://data.census.gov/table/ACSDT1Y2024.B25064?g=010XX00US) — Median gross rent (2024 ACS 1-year)
- [US Census Bureau, American Community Survey 2024 1-year](https://data.census.gov/table/ACSDT1Y2024.B25035?g=160XX00US0644000) — Median year homes were built (2024 ACS 1-year)
- [US Census Bureau, American Community Survey 2024 1-year](https://data.census.gov/table/ACSDT1Y2024.B25035?g=040XX00US06) — Median year homes were built (2024 ACS 1-year)
- [US Census Bureau, American Community Survey 2024 1-year](https://data.census.gov/table/ACSDT1Y2024.B25035?g=010XX00US) — Median year homes were built (2024 ACS 1-year)
- [42 U.S.C. 12704(14)](https://www.law.cornell.edu/uscode/text/42/12704) — First-time homebuyer: has not owned a home in the past (HUD/HOME statute) (Oct 28, 2026)
- [City of Los Angeles Office of Finance: Real Property Transfer Tax and Measure ULA FAQ](https://finance.lacity.gov/faq/measure-ula)
- [Los Angeles Housing Department: Programs for First Time Homebuyers](https://housing.lacity.gov/wp-content/uploads/2023/04/Eng-FTHB-Booklet.pdf)
- [California Department of Insurance: Home/Residential Insurance](https://www.insurance.ca.gov/01-consumers/105-type/5-residential/index.cfm)

_General information, not financial advice._