Real Estate Investing in Hermosa Beach, California (90254)
Everything the listing leaves out — vacancy, rent trend, cap rate, landlord climate. All free.
Should you buy in 90254 (Hermosa Beach, CA)? Our answer, based on the numbers below.
Multiple negative signals. Better options likely exist nearby.
Structural challenges here. The numbers may look cheap but operational risk is high. Only for experienced, hands-on investors.
- High vacancy: 14.0% of homes vacant — above national norms.
- Tenant-protective state: Landlord rating 1.0/5 — slower evictions, more regulations.
- High price-to-rent: Price-to-rent ratio 45.3 — hard to cash-flow at these prices.
What’s happening in Hermosa Beach, CA (90254)?
Click any question — our AI will research it live from the web and show you sources.
Market Analysis: 90254 Hermosa Beach
ZIP 90254 in Hermosa Beach, CA carries a solid set of headwinds. Home values near $2.3M and rents of $4,175/mo sit inside a market where underwriting has to be tight.
For an experienced owner, 90254 can be a worth a close look for hunting ground — but the discount at $2.3M reflects genuine risk that outside investors often underestimate.
On balance, 90254 offers a low basis, the region around Hermosa Beach has moved on in ways that the ZIP itself has not fully absorbed. The result is a discount with genuine reasons.
Resident income in 90254 sits below the county median. That reality colors rent collection, vacancy, and reinvestment math in ways that outside investors often underestimate.
Experienced landlords with local relationships tend to find 90254 workable. Turnkey investors from out of state usually find the numbers do not hold up in practice.
Here's what matters if you're considering buying a home in Hermosa Beach:
Property Strategy for 90254
Which property type performs best in this market?
📊 Compare All Property Types →
| Type | Median Value | Est. Rent | Cap Rate | 5yr CAGR | $/Bedroom |
|---|---|---|---|---|---|
| 1BR | $886,374 | $3,050 | 2.5% | +5.9% | $886,374 |
| 2BR | $1,512,612 | $3,810 | 1.8% | +4.6% | $756,306 |
| 3BR | $2,125,156 | $4,830 | 1.6% | +5.8% | $708,385 |
| 4BR | $2,945,986 | $5,380 | 1.3% | +5.8% | $736,497 |
| 5BR | $4,590,940 | — | — | +4.8% | $918,188 |
Market Trends
Home Value History (with trend line)
Rent History (with trend line)
📊 How Does 90254 Compare?
| Metric | 90254 | Hermosa Beach | Los Angeles-Long Beach-Anaheim, CA | California |
|---|---|---|---|---|
| Home Value | $2,266,762 | $2,266,762 | N/A | $761,003 |
| 5-Year CAGR | 3.8% | 3.8% | N/A | 5.7% |
| Avg Rent | $4,175 | $4,175 | N/A | - |
| Cap Rate | 1.4% | 1.4% | - | - |
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 90254 (Hermosa Beach, CA). Anonymous, moderated, never written by AI.
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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 | $2,266,762 |
| Monthly Rent | $4,175 |
| Price-to-Rent | 45.3:1 |
| 1% Rule | ✗ Fails |
💰 Return Metrics
| Gross Yield | 2.2% |
| Cap Rate | 1.4% |
| 5-Year IRR | 5.3% |
📈 Home Appreciation
| 1-Year | +7.0% ▲ |
| 3-Year CAGR | +2.6% ▲ |
| 5-Year CAGR | +3.8% ▲ |
| 10-Year CAGR | +5.9% ▲ |
🏠 Rent Trends
| 1-Year | +4.3% ▲ |
| 3-Year CAGR | +5.0% ▲ |
| 5-Year CAGR | +6.0% ▲ |
The current 30-yr mortgage rate (6.8%) exceeds the estimated cap rate (1.4%). 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 90254
Population: 19,248
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 90254
Schools in This ZIP Code
Nearby Schools (5 more)
Schools in adjacent ZIP codes that may serve this area
Aurelia Pennekamp Elementary
Grand View Elementary
Manhattan Beach Middle
Meadows Avenue Elementary
Pacific 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 7,581 students living off-campus nearby, this area has strong rental demand from the college population.
Frequently Asked Questions
Is Hermosa Beach, CA a good place for real estate investing?
Hermosa Beach, CA clocks in at an investability rating of 2.0/5, with median home values near $2.3M and average rents around $4,175/mo. That combination puts it in the healthy tier for investor interest.
What is the typical rental rate in Hermosa Beach, CA?
The typical rental in Hermosa Beach, CA commands about $4,175/mo monthly. That rent profile predictable cash flow against the $2.3M purchase basis.
What is the rental occupancy rate in Hermosa Beach, CA?
Hermosa Beach, CA vacancy trends elevated. Investors running standard buy-and-hold plays see reasonable downtime between tenants.
What kind of tenants rent in Hermosa Beach, CA?
Tenant quality in Hermosa Beach, CA ranks as solid. Landlords generally report steady occupancy at market rents of $4,175/mo.
Which real estate strategy fits Hermosa Beach, CA?
Investors who focus on careful cash-flow rentals with hands-on management typically do well in Hermosa Beach, CA. The numbers - $2.3M homes against $4,175/mo rents - support that play.
You know 90254 now. You don’t know where it ranks.
This page stays free — all of it. What one page can’t tell you is how 90254 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 90254 ranks in Los Angeles-Long Beach-Anaheim, CA
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