Los Angeles, CA Rental Market for Investors
An estimated 12% of Los Angeles's active listings could cash-flow as a short-term rental — here's what the numbers say for investors, as of October 2026.
As of October 2026, we analyzed 4,987 active for-sale homes in Los Angeles, California. The typical listing is priced at $1,149,000 and is projected to generate about $68,581 a year as a short-term rental.
After setting aside an estimated 20% for operating costs, an estimated 12.2% of those homes could still cover an investor mortgage payment on short-term-rental income — below the 53.1% median across the 200 major metros we track, ranking Los Angeles #196 of 200 for cash-flow potential.
On market momentum: homes in Los Angeles sit a median of 53 days on the market, and 32% of active listings came on in just the last 30 days — a steadily paced market, which shapes how much room there is to negotiate.
For a DSCR loan — which qualifies on the property's rental income rather than your personal income — Los Angeles runs tighter once operating costs are accounted for: many listings need a below-median price, a stronger short-term-rental setup, or more money down before the income covers the payment. It's a market where running the numbers property-by-property matters.
What actually works in Los Angeles
Cash-flow is the exception rather than the rule in Los Angeles right now: 36 of the 2,267 Los Angeles homes, condos and townhomes we can price confidently clear a DSCR of 1.25. Nine in ten of them are priced under $1,195,000.
| Price | 1 bed | 2 bed | 3 bed | 4 bed | 5 bed |
|---|---|---|---|---|---|
| $250k–$350k | 3%0.93 | — | — | — | — |
| $350k–$500k | 1%0.66 | 13%0.92 | — | — | — |
| $500k+ | 0%0.48 | 1%0.58 | 1%0.66 | 2%0.58 | 2%0.59 |
Darker means a larger share of that group cash-flows. “—” means fewer than 8 active listings — too few to draw a conclusion from.
Los Angeles in full
| Active for-sale homes analyzed | 4,987 |
|---|---|
| Median list price | $1,149,000 |
| Median projected STR revenue (annual, gross) | $68,581 |
| Median average daily rate (ADR) | $287 |
| Median occupancy | 66% |
| Median beds | 3 |
| Median size | 1,735 sqft |
| Estimated cash-flow-positive share | 12.2% |
| Median days on market | 53 days |
| New listings (last 30 days) | 31.7% of active |
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Estimates for educational purposes. Final terms subject to credit, property & program approval.
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