La Palma in short: The typical home is worth about $1,187,000 as of August 2026, up 4.0% in a year, against about $1,179,000 across Orange County. About 22 homes are for sale. Typical rent is about $3,850 a month. First-time buyers can combine county and state down payment programs.
La Palma is one of Orange County's smallest cities by area, a compact residential community on the Los Angeles County line between Buena Park and Cerritos. It is made up mostly of single-family homes from the 1960s and 1970s, with Central Park at its heart and a small commercial area.
Because the city is small and largely built out, only a handful of homes come up for sale in a typical month, and well-kept homes can move quickly. Buyers often come for the schools, including John F. Kennedy High School, and for easy access to both counties.
With limited inventory, preparation matters. I set up alerts, review recent sales with buyers in advance and make sure financing is ready, so we can act when the right home appears.
La Palma housing market, August 2026
Home values in La Palma are up 4.0% from a year ago and up 14.1% over three years. About 28.5% of listings have had a price cut, which tells you how much room there is to negotiate. For comparison, the typical home value across Orange County is $1,179,000. At the typical rent and value, the gross rental yield is about 3.9% a year before expenses.
Sources: Zillow Research (home value and rent indexes, inventory, days to pending, price cuts) and Realtor.com Research, data through August 2026. These are market-wide figures, not an appraisal of any one home. See the Orange County market report for the county trend.
What a typical La Palma home costs to own
20% down
$7,822/month
- Down payment$237,500
- Principal and interest$6,288
- Property tax$1,089
- Insurance$445
Income to qualify: about $335,000 a year
10% down
$9,098/month
- Down payment$118,750
- Principal and interest$7,075
- Property tax$1,089
- Insurance$445
- Mortgage insurance$490
Income to qualify: about $390,000 a year
Estimates on the typical home value of $1,187,000 at the 6.95% 30-year fixed average (2026-09-17), with property tax at 1.1% and insurance at 0.45% of value a year, and income at 28% of gross for housing. HOA dues and Mello-Roos are extra where they apply. Not a loan quote. Down payment programs below can cover part of the down payment. See 20 years of mortgage rates.
Neighborhoods in La Palma
- Central La Palma1960s and 1970s single-family streets around Central Park.
- Near the Cerritos lineHomes close to the Cerritos Towne Center shopping area just across the county line.
Schools
Centralia School District serves elementary grades and Anaheim Union High School District covers grades 7 to 12, including John F. Kennedy High School. Always confirm the assigned school for a specific address with the district.
Getting around
The 91 runs along the north side of the city, and the 605 and Interstate 5 are close by.
Down payment help for La Palma buyers
Orange County Mortgage Assistance Program (MAP) Open
OC Housing and Community Development
A deferred second loan at 3% simple interest of up to $120,000 for low-income and $80,000 for moderate-income first-time buyers. The price must be at or below 85% of the county median sales price.
Orange County Mortgage Credit Certificate (MCC) Open
County of Orange, administered by National Homebuyers Fund
A federal income tax credit on part of the mortgage interest you pay, every year for the life of the loan. Income up to 115% of area median income, and it stacks with MAP and other programs.
CalHFA MyHome Assistance Program Open
California Housing Finance Agency
A deferred junior loan of up to 3% of the price toward the down payment or closing costs, paired with a CalHFA first mortgage. No monthly payment until you sell, refinance or pay off the loan.
See every program you may qualify for
Program terms from the official program pages, last checked September 2026. Income and price limits apply and funds can close without notice, so confirm current terms before you rely on them.
La Palma ZIP codes at a glance
| ZIP | Median asking price | Per sq ft | Homes for sale | Median days on market |
|---|---|---|---|---|
| 90623 | $1,245,000 | $630 | 12 | 36 |
Realtor.com Research listing data by ZIP code, August 2026. A ZIP code can cross city lines.
La Palma real estate questions
How much does a home cost in La Palma?
As of August 2026, the typical home value in La Palma is about $1,187,000, up 4.0% from a year earlier, according to the Zillow Home Value Index. The median asking price for homes listed that month was about $1,222,000. Condos and townhomes usually sit below the typical value and larger detached homes above it.
What is the monthly payment on a typical home in La Palma?
At the typical value of $1,187,000, with 10% down and a 6.95% 30-year fixed rate, the full monthly cost including property tax, insurance and mortgage insurance is about $9,098. Lenders would usually look for household income around $389,914. HOA dues and Mello-Roos are extra where they apply. This is an estimate, not a loan quote.
Is there down payment help for La Palma buyers?
Yes. Countywide, first-time buyers in La Palma can look at the Orange County Mortgage Assistance Program and the Orange County Mortgage Credit Certificate, and statewide at CalHFA's MyHome Assistance Program. Income and price limits apply, and the right combination depends on your situation. The finder on this site lists more than 40 programs across Southern California.
Why are so few homes for sale in La Palma?
La Palma is small and almost fully built out, so only a handful of homes list each month. That makes timing and preparation important. Getting pre-approved and studying recent sales ahead of time lets you move quickly when a good home comes up.
Official resources
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