The homeownership rate in Los Angeles County has dropped to an unprecedented low not seen in over half a century. According to a recent report from the University of Southern California (USC), the county’s homeownership rate stood at 45% in 2023, the lowest in 53 years since the 1970s. This figure is significantly lower than California’s statewide average of 56% and the national average of 65%, highlighting a structural worsening of the region’s housing crisis.

The USC-affiliated “SOLACHAN 2025 Report” analyzed that LA County’s housing market is in a severe state of imbalance. The median home price is approximately 10 times the median household income, more than double the national average of about 4 times. Notably, the homeownership rate among households earning $50,000 to $150,000 has plummeted by over 30 percentage points compared to 2010, pushing even the traditional “homeownership core” out of the market. Demographic disparities are also stark. In 2023, Asian-Pacific Islander households (56%) and White households (53%) in LA County recorded homeownership rates above the overall average of 45%. In contrast, Hispanic/Latino households stood at 39%, Black households at 31%, and Native American/Alaska Native households at even lower levels.

Notably, only Asian-Pacific Islander households saw an increase in ownership, rising from 50% in 2010 to 56% in 2023. The shortage of housing supply is further entrenching these disparities. Across California, approximately 85,000 new homes are built annually, a figure deemed far insufficient to meet demand. Experts argue that at least double that number—over 170,000 units per year—is necessary to stabilize prices. The situation in LA County is even more dire. In the 1950s, over 70,000 homes were built annually, but recent years have seen fewer than 15,000. Between 2018 and 2024, only about 150,000 new homes were constructed, with just 10% designated as affordable housing for low-income residents.

Compounding the issue, a massive wildfire in January destroyed over 12,000 homes, with estimated losses exceeding $40 billion in residential assets. This has intensified competition in the rental market, driving up monthly rents and deepening housing insecurity for lower-income residents. The California state government has introduced measures such as regulatory relief, public housing construction, and tax incentives, but significant results will take considerable time to materialize. Experts warn, “Unless supply expansion, disaster recovery, and tailored policies to address racial and class disparities are implemented over the next decade, California’s housing imbalance will deepen further.”

Ultimately, LA County’s 45% homeownership rate—the lowest in 53 years—is more than just a statistic. It reflects a complex crisis combining structural supply shortages, climate disasters, and racial disparities, serving as a serious warning that, without long-term solutions, it could threaten the overall stability of the region. USC researchers cautioned, “Recovery of LA County’s homeownership rate is impossible without increased supply,” adding, “Climate disasters like wildfires are exacerbating the supply shortage over the long term.”