Key Real Estate Market Trends for 2025 – Spotlight on Long Beach, CA

by Noelle Longmeyer

The real estate market in Long Beach, CA, is a fascinating microcosm of the broader North American trends we’re seeing in 2025. This coastal city, known for its vibrant neighborhoods and ocean views, has experienced a whirlwind of changes that mirror—and sometimes defy—national patterns.

Rising Home Values and Shifting Demand

Over the past year, Long Beach has seen home values continue to rise, albeit at a more moderate pace than during the post-pandemic surge. Buyers are still attracted to the area’s lifestyle and amenities, but affordability concerns are starting to temper the market. First-time homebuyers face stiff competition, especially for single-family homes in sought-after neighborhoods like Belmont Shore and Bixby Knolls.

Inventory Crunch and New Construction

One of the defining trends in Long Beach is the ongoing inventory shortage. Fewer listings mean buyers need to act fast, and bidding wars are not uncommon. However, developers are responding with new condo and mixed-use projects, aiming to ease the crunch and diversify housing options.

Interest Rates and Buyer Behavior

Rising interest rates in 2025 have changed the game. Some potential sellers are staying put, locked into lower mortgage rates, while buyers are recalculating budgets. As a result, we’re seeing more creative financing, increased demand for adjustable-rate mortgages, and even a rise in all-cash offers from investors.

Rental Market Resilience

For those not ready to buy, Long Beach’s rental market remains strong. Rents have stabilized after sharp increases, but desirable units—especially near the waterfront—still command premium prices. With remote work trends persisting, more professionals are choosing to rent in Long Beach for its blend of urban energy and beachside relaxation.

Looking Ahead

What does the future hold? Experts predict a gradual return to balance as more inventory comes online and buyers adjust to the new normal of higher rates. Long Beach’s appeal isn’t fading—it’s simply evolving, offering opportunities for savvy buyers, sellers, and investors who stay informed and flexible.

💡 Curious about what’s happening in your neighborhood or ready to make a move? Reach out for the latest listings and personalized advice. Call Noelle at 714-514-5643 or Kelly at 714-469-0417!