House the market? Scherb Homes Group - September 2025
Hi friends,
It’s Cliff here from the Scherb Homes Group. I hope this finds you well and enjoying the back-to-school routine and the warm, golden days of early fall. Around here, Kim and I have been soaking up the season—sneaking in a little more pickleball, settling into the school schedule with Clover, and chasing those unbeatable South Bay sunsets.
As always, we’ve been busy supporting families as they make big real estate moves—listing beautiful homes, unlocking off-market opportunities, and helping buyers navigate what continues to be a complex and evolving housing market. Whether you’re thinking of selling or buying, this report is meant to help you make sense of the current landscape with a straight-shooter’s approach.
Here’s what we’re seeing across the South Bay right now.
Top 3 Market Takeaways This Month
First, it’s still technically a seller’s market, but not by much. Buyers are gaining ground as inventory ticks upward and homes stay on the market longer.
Second, while home prices have dropped over the past year across most South Bay cities, nearly a third of homes are still selling at or above asking price. Sellers who are realistic and prepared are still closing solid deals.
Third, mortgage rates remain stubbornly high, sitting at about 6.47 percent. With the 10-year treasury at 4.17 percent, the spread is sitting well above the historical average of 1.7 percent. That makes affordability a challenge for many buyers and is slowing down decisions.
The South Bay at a Glance
Right now, the median home price across the region is $1,325,000—down about $153,000 from a year ago, a six percent drop overall. Inventory is up by nearly 12 percent from last month, but we’re still well below historical norms. There’s currently about 3.7 months of supply on the market, which keeps us in slight seller’s market territory.
More than 40 percent of homes are selling below asking, while only 30 percent are commanding over-asking offers. Homes are also taking longer to sell, with average days on market trending up year-over-year. This signals that both buyers and sellers need to be strategic and thoughtful.
What’s Happening in Each Market – Cliff’s Notes
We’ve ordered these cities from highest to lower median price so you can get a sense of where each market stands.
Rolling Hills
Inventory remains tight in this gated community, and sellers are showing patience. Median price per square foot is around $1,156, with active listings around $4.95M. Homes are taking longer to sell—over 100 days on average—and while just over a quarter have seen price reductions, values are forecasted to decline slightly over the next year. Buyers: don’t expect fire-sale pricing here. Sellers: prep well and be realistic about timeframes.
Manhattan Beach
Prices per square foot have dropped a bit, but median list prices are actually up. That tells me sellers are confident, but buyers have a bit more leverage than before. Homes are moving faster than in previous months, and about one-third of listings have seen price reductions. The next year is expected to be flat to slightly positive in appreciation. If you’re a buyer, act decisively. Sellers: price sharp to move with the momentum.
Hermosa Beach
We’re seeing a notable number of price reductions—nearly 42 percent of homes on the market have adjusted downward. List prices are hovering around $3.5M, with homes taking around 53 days to sell. The good news is the one-year forecast is holding steady. Buyers: negotiate confidently. Sellers: price competitively from the start.
Palos Verdes Estates
Buyers have more options than they have in a while. Days on market are at a near two-year high, which gives buyers the edge in negotiations. Still, sellers aren’t panicking—only about one-third of listings have reduced their prices. Prices are forecasted to continue softening through the end of the year. Buyers: try to make your move before rates fall and prices rise again. Sellers: ditch last year’s price point and focus on presentation.
Rolling Hills Estates
This market feels more like a buyer’s market than any other on the Peninsula. Median price per square foot has dipped to around $767, and inventory is higher than we’ve seen in some time. Homes are staying on the market longer, and about a third have seen price cuts. Buyers: there’s opportunity here. Sellers: you’ll need to put your best foot forward to get attention.
Rancho Palos Verdes
Inventory is high, and nearly half the homes on the market have seen price reductions. The average home is sitting for close to two months before selling. Buyers are definitely in a stronger position. The next year looks flat to slightly negative in terms of appreciation. If you’re listing, now is the time to differentiate your home with thoughtful prep and smart pricing.
Hollywood Riviera
Holding steady. List prices are hovering around $2.1M, and homes are selling in about 50 days on average. A full 43 percent of homes on the market have seen a price drop, but the market forecast is slightly positive. Buyers: be discerning, but don’t wait too long. Sellers: the market will reward you for pricing properly and presenting well.
Redondo Beach
This market hasn’t moved much since last month. Inventory is up and the median price is unchanged at $1.6M. Nearly half of the homes for sale have seen a price cut, but the average home price has climbed slightly—about one percent over the past year. Sellers: don’t get too ambitious with pricing. Buyers: there’s solid opportunity here, especially if you’re looking for space and value near the coast.
Torrance
Torrance continues to be a solid, stable market. Median list price is around $1.09M and homes are moving in just under 40 days on average. Forty-five percent of homes have seen price decreases, but the overall market remains positive. This is one of the more balanced places to buy right now.
San Pedro
A bit of a bright spot for buyers. There are more homes on the market here than a year ago—up about 30 percent—and they’re moving faster than last month. Only one in four homes is seeing a price drop, and the average home is selling in just over a month. Prices have softened slightly over the last year, but if you’ve been waiting to buy in San Pedro, now may be your window.
Final Word from Cliff
Even with all this shifting data, here’s the truth: well-prepared homes are still selling, and informed buyers are still winning. If you’ve been on the fence, this fall presents an opening. Rates are high, yes—but that’s also keeping buyer competition in check. Once rates come down, expect a renewed surge in demand.
If you’re thinking about selling in the next few months, I’d love to run a detailed home report for you to help you prep and plan. If you’re a buyer, I’ve got eyes on several opportunities coming soon—including some off-market listings that haven’t hit the MLS yet.
Reach out anytime. Let’s sit down and talk strategy—no pressure, just a conversation to help you feel clear and confident.
Wishing you all the best,
Cliff Scherb
Vista Sotheby’s International Realty
Cliff@ScherbHomes.com | 310-696-6648
