South Bay Real Estate Market Update — August 21, 2026
El Segundo emerged as the tightest of the six major South Bay markets we track this week, falling to just 1.06 months of inventory.
Only 17 homes are currently active in El Segundo compared with 16 properties already in escrow. Last week there were 21 active homes and 12 in escrow, demonstrating how quickly conditions can change in one of the South Bay's smaller markets.
Manhattan Beach and Torrance also remain below two months of inventory at 1.91 and 1.92 MOI respectively.
Redondo Beach had one of the strongest sales weeks, recording 22 closed transactions as active inventory declined from 138 to 127 homes.
Greater Palos Verdes currently provides buyers with the greatest relative selection at 3.01 months of inventory. Twenty sales closed during the week, with an average price of approximately $4.07 million. That unusually high weekly average was influenced by a $24 million sale—an excellent example of why short-term averages in luxury markets need context.
The bigger picture
A single week's numbers are useful, but trends are considerably more informative.
The Historical Trends feature in the South Bay Market Dashboard makes it easy to compare current conditions with previous weeks and see how inventory and market activity are evolving across the South Bay and Palos Verdes.
The bottom line: Inventory remains constrained across much of the South Bay. Buyers shouldn't assume that late summer automatically means a soft market, while sellers still need to recognize that limited supply doesn't eliminate the importance of correct pricing and presentation.