Real Estate Investing in Commerce, California (90040)
Everything the listing leaves out — vacancy, rent trend, cap rate, landlord climate. All free.
Should you buy in 90040 (Commerce, CA)? Our answer, based on the numbers below.
Proceed carefully. Weak appreciation or affordability makes this a harder case for most buyers.
A middle-of-the-road market. Workable, but the best opportunities may be nearby ZIPs rather than this one.
- Tenant-protective state: Landlord rating 1.0/5 — slower evictions, more regulations.
- High price-to-rent: Price-to-rent ratio 31.3 — hard to cash-flow at these prices.
• Modeled rent — no observed market rent for this ZIP; the figure is estimated from HUD fair-market rent.
What’s happening in Commerce, CA (90040)?
Click any question — our AI will research it live from the web and show you sources.
Market Analysis: 90040 Commerce
ZIP 90040 in Commerce, CA carries a substantial set of headwinds. Home values near $701K and rents of $1,863/mo sit inside a market where underwriting has to be tight.
The 90040 ZIP can work — but only with a tight operating hand. Remote landlords and passive investors tend to struggle here more than the underwriting suggests.
In the broader CA picture, 90040 is a reminder that not every low-priced ZIP is a value-add opportunity — some are simply distressed, and the difference matters.
A durable renter share of 47% in 90040 is not, on its own, a problem — but paired with below-average income and high mobility, it changes the operating playbook.
leans the ZIP is not uninvestable, but it is unforgiving. Section 8 landlords, local operators, and specialized value-add funds are the investor types that tend to succeed.
Here's what matters if you're considering buying a home in Commerce:
Property Strategy for 90040
Which property type performs best in this market?
📊 Compare All Property Types →
| Type | Median Value | Est. Rent | Cap Rate | 5yr CAGR | $/Bedroom |
|---|---|---|---|---|---|
| 2BR | $610,197 | $2,070 | 2.4% | +5.4% | $305,098 |
| 3BR | $697,951 | $2,650 | 2.7% | +5.8% | $232,650 |
| 4BR | $765,380 | $2,920 | 2.7% | +5.0% | $191,345 |
Market Trends
Home Value History (with trend line)
📊 How Does 90040 Compare?
| Metric | 90040 | Commerce | Los Angeles-Long Beach-Anaheim, CA | California |
|---|---|---|---|---|
| Home Value | $700,562 | $700,562 | N/A | $761,003 |
| 5-Year CAGR | 3.9% | 3.9% | N/A | 5.7% |
| Avg Rent | $1,863 | $1,863 | N/A | - |
| Cap Rate | 2.1% | 2.1% | - | - |
Similar ZIPs Within 25 Miles
Compare other nearby markets to see if a neighbor offers a better fit.
Landlord Ground Truth
Real numbers from people who own or manage rentals in ZIP 90040 (Commerce, CA). Anonymous, moderated, never written by AI.
Do you own or manage rentals in ZIP 90040 (Commerce, CA)?
~25 seconds · no account needed · your report is anonymous
Property managers serving Los Angeles County
Manage rentals here? List your business →A Better Property Management Company Inc. provides property management services in Long Beach, Seal Beach, and Southern California. summary from their website
ACF Property Management leases shopping center spaces nationwide, managing over 37 shopping centers in 11 states from California to Florida. summary from their website
summary from their website summary from their website
Listings are shown for convenience — Repit doesn’t endorse or vet these companies. Ratings shown come only from email-verified visitors.
📊 Market Snapshot
| Home Value | $700,562 |
| Monthly Rent | $1,863 |
| Price-to-Rent | 31.3:1 |
| 1% Rule | ✗ Fails |
💰 Return Metrics
| Gross Yield | 3.2% |
| Cap Rate | 2.1% |
| 5-Year IRR | 6.0% |
📈 Home Appreciation
| 1-Year | +4.1% ▲ |
| 3-Year CAGR | +3.1% ▲ |
| 5-Year CAGR | +3.9% ▲ |
| 10-Year CAGR | +6.7% ▲ |
🏠 Rent Trends
| 1-Year | N/A |
| 3-Year CAGR | N/A |
| 5-Year CAGR | N/A |
The current 30-yr mortgage rate (7.0%) exceeds the estimated cap rate (2.1%). Financing reduces your cash-on-cash return below the cap rate. Markets like this may still make sense as IRR plays — factoring in appreciation, depreciation, and a future refinance when rates drop.
Run an IRR Analysis →⚠️ Risk Signals
Composite view of factors that can impact a ZIP's stability and your downside risk.
Demographics in 90040
Population: 11,683
Crime & Safety
Crime & Safety Data Coming Soon
We're integrating comprehensive crime statistics including violent crime rates, property crime, and safety scores to help you make informed investment decisions.
Expected: Q1 2025
🎓 Schools in 90040
Schools in This ZIP Code
Nearby Schools (5 more)
Schools in adjacent ZIP codes that may serve this area
Applied Technology Center
Hilda L. Solis Lrng Acad Sch of Tech Business and Ed
Alfonso B. Perez Special Education Center
Bell Gardens Elementary
Fremont Elementary
About Repit School Scores
Traditional school ratings rely heavily on standardized test scores, which often reflect family income more than school quality. Repit takes a different approach.
We evaluate schools based on factors that research shows actually impact educational outcomes:
- Class Size — Smaller classes mean more individual attention
- School Funding — Resources available for programs, staff, and facilities
- Community Factors — Neighborhood characteristics that influence student success
- School Environment — Size, type, and structure
Scores are updated annually using federal education data.
🎓 Nearby Colleges & Universities
Investor Insight: With 23,203 students living off-campus nearby, this area has strong rental demand from the college population.
Frequently Asked Questions
Are homes affordable in Commerce, CA?
Commerce, CA median home values land near $701K. That is reasonable territory for investors looking at $1,863/mo-per-month rentals.
How much rent can I charge in Commerce, CA?
Commerce, CA rentals go for roughly $1,863/mo a month. That puts gross yield in solid territory relative to $701K acquisition costs.
Is Commerce, CA landlord-friendly?
CA law tenant-protective for landlords, and Commerce inherits those rules. Investors should still review local ordinances for rental licensing.
Is Commerce, CA a good place for real estate investing?
Commerce, CA shows an investability rating of 3.0/5, with median home values near $701K and average rents around $1,863/mo. That combination puts it in the notable tier for investor interest.
Is Commerce, CA better for rentals, flips, or BRRRR?
For Commerce, CA, careful cash-flow rentals with hands-on management is the standard investor playbook. The market structure makes it a reasonable default approach.
You know 90040 now. You don’t know where it ranks.
This page stays free — all of it. What one page can’t tell you is how 90040 compares to every other market. Investor ($19/mo) screens every U.S. ZIP by cap rate, the 1% rule, vacancy and landlord climate, and exports your shortlist.
How 90040 ranks in Los Angeles-Long Beach-Anaheim, CA
Every ZIP in this metro, ranked. Free.
AI Market Advisor
Ask questions about investing in 90040 (Commerce)
Community Ratings
What people who’ve spent time here actually say. Not paid reviews.
Be the first to rate 90040 (Commerce, CA).
It takes 30 seconds. No signup. Your rating helps everyone who comes here after you.