Malibu, California Housing Market

What stands out in Malibu?

• The median asking price is $5,890,000: one of the priciest of 765 tracked cities. Entry costs are high, so cash flow is harder. Price growth has to do more of the work.
• The median household earns $196,742 a year: among the highest incomes of 765 tracked cities. Tenants can carry higher rents.
• Population is down 10.2% over five years: among the steepest population decline of 765 tracked cities. A shrinking population thins demand over time.

What does a shrinking population mean for Malibu landlords?

The population in Malibu's ZIP codes fell 10.2% over five years. 27.4% of homes are vacant, higher than 97% of tracked cities. Households fell 15.3% while the housing stock changed -12.1%. Fewer households means a thinner tenant pool. Budget extra vacancy and buy where renters already concentrate.

Who will rent from you in Malibu?

Only 21 out of every 100 Malibu households rent. This is an owners' town. That share has held steady for five years. Renter households average 2.2 people. Two and three bedrooms fit the typical renter.

The median Malibu household earns $196,742 a year. Incomes here have grown 5.2% a year since 2019. Incomes are rising faster than home prices. Affordability is improving. A typical home costs 29.9 times the median income. Most locals cannot buy. That keeps rental demand deep. It also caps the rent they can pay. At 30% of income, a tenant on the median income can pay about $4,919 a month.

To see what one Malibu address would rent for and cash flow, run it through the app.

What is the fair market rent in Malibu?

HUD sets one fair market rent for Los Angeles County. For fiscal year 2026:

• 1 bedroom: $2,085 a month. Up 0% on last year, up 81% since FY2016.
• 2 bedrooms: $2,601 a month. Down 1% on last year, up 75% since FY2016.
• 3 bedrooms: $3,298 a month. Down 1% on last year, up 64% since FY2016.
• 4 bedrooms: $3,672 a month. Down 1% on last year, up 65% since FY2016.

The figures include tenant-paid utilities and apply to all of Los Angeles County, so one home's rent can sit well above or below them. See fair market rent by city.

How does Malibu compare with other California markets?

Ranked among the 141 California markets we track:

• Asking price: the priciest of 141. Malibu is at $5,890,000. Closest: Newport Beach.
• Time on market: the longest time on market of 141. Malibu is at a median of 84 days on market. Closest: Twentynine Palms.
• Price cuts: 2nd fewest price cuts of 141. Malibu is at 9% of sellers cutting. Closest: Oakland and San Francisco.

How much can you negotiate in Malibu?

Pending-sale counts for Malibu were thinly reported until recently, so this page reads demand from how long listings sit, how many sellers cut, and how much is for sale. Few sellers are dropping their price. Your discount will come from one stale listing.

The typical Malibu listing has been on the market 84 days. That is 8% shorter than a year ago. There are 321 homes for sale in Malibu. That is the most in ten years. It is 4 times the low of Jan 2022. Every one of them competes with the house you want.

What to do about it

• Judge each listing on its own.
• Homes listed 90+ days ago with a price cut are where your discount is.
• Fresh, well-priced homes will not move on price. Do not waste offers on them.

What numbers should you underwrite a Malibu deal with?

• Price growth to assume — +1.1%/yr. Malibu grew 3.3% a year over the decade. Ignore that rate. Most of it landed in the 2020 and 2021 boom. Without the boom, Malibu grows about 1.1% a year. That is the number to type in. Prices fell 2.6% over the last year. Use it for timing. The five-year rate is the better guide.
• Months of carrying cost — 3. Budget at least 84 days of holding costs, the current median listing age, when you exit or refinance.
• Odds you cut your price to sell — 1 in 11. 9% of Malibu listings have cut their asking price. Underwrite your exit below asking.
• Competition when you exit — +7%. Homes for sale in Malibu are up 7% on last year, so your resale faces more competition than today's comps did.

Read how population change affects rentals and how we read these numbers, then run the numbers on a deal.

What is the median home price in Malibu?

The median asking price in Malibu is about $5,890,000 as of Sep 2026, down 1.0% from a year ago. This is the asking price on homes listed for sale. Sites that report sold prices or estimated home values will show a different number. Our Malibu figures cover the 3 ZIP codes with a Malibu mailing address, which can reach past city limits.

Is Malibu a buyer's or seller's market in 2026?

Neither side has the upper hand in Malibu right now. We compare Malibu with 2017–2019 at this time of year: there are 25% more homes for sale; 9% of sellers have cut their price, against 10% then; the typical listing has been up 4% more days.

Are Malibu home prices going up or down?

The median asking price is 25.9% below its May 2022 peak. You are not buying at the top. Prices are still falling. Waiting has paid off so far. Let listings age, then come back lower.

What is the best month to buy a house in Malibu?

Across 9 full years, Malibu asking prices ran lowest in January, about 2.1% below the year's average. They peaked in May. The most homes for sale show up in July, about 11% above the yearly average.

What is the fair market rent in Malibu?

HUD's fiscal year 2026 fair market rent for Los Angeles County is $2,601 a month for 2 bedrooms and $3,298 for 3 bedrooms. The figures include tenant-paid utilities and cover the whole county.