Key Takeaways
Prioritize High-Demand Locations: Focus on neighborhoods with easy access to major job hubs, top-rated schools, and lifestyle amenities like dining and shopping to attract reliable, long-term tenants willing to pay premium rents.
Budget Wisely for a Premium Market: Account for all costs, including purchase price, maintenance, and vacancies, and avoid overextending financially in Manhattan Beach’s high-cost, competitive real estate market.
Enhance Property Appeal and Use Professional Management: Invest in high-end finishes and outdoor spaces to meet tenant expectations, and consider hiring a local property management company to streamline operations and maximize returns.
Top Tips When Buying Investment Property in Manhattan Beach, CA
Manhattan Beach, California, is one of the most sought-after real estate markets in the greater Los Angeles area. According to recent data from the California Association of Realtors, median home prices in Manhattan Beach consistently rank among the highest in Southern California.
With strong tenant demand, limited housing inventory, and a high quality of life, the city continues to attract both residents and real estate investors. For landlords, this means an opportunity to generate steady rental income and long-term property appreciation.
With that in mind, Jambi Property Management put together this guide to help prospective investors navigate the process of buying rental property in Manhattan Beach. Apply these strategies to help ensure your rental purchase performs well over time.
What Is the Manhattan Beach Real Estate Market Like?
The Manhattan Beach real estate market is highly competitive and known for its high-value homes and limited supply. Properties in this area do not stay on the market for long, and multiple offers are common. As of early 2025, average property values remain significantly above state and national averages, with rental rates reflecting the premium lifestyle the city offers.
Most homes in Manhattan Beach are single-family properties, although there are select opportunities for multi-unit investments, particularly in neighborhoods farther from the beachfront. The market remains stable, driven by strong demand from both families and professionals who work in the greater Los Angeles area but prefer to live near the coast.
Zoning regulations and building restrictions in Manhattan Beach also contribute to the market's stability by limiting overdevelopment. For landlords, this translates into a consistent pool of high-quality tenants and strong appreciation over time. Manhattan Beach is a beautiful area for investors looking to maximize their ROI. Here are the top 10 tips for investors.
Top Tips for Real Estate Investments in Manhattan Beach
1. Set a Realistic Budget and Stick to It
Start by finding properties within your financial range that offer solid investment potential. Manhattan Beach is a high-cost market, so it’s important to account for not just the purchase price, but also closing costs, renovations, insurance, taxes, and reserve funds for repairs. Avoid overextending yourself financially, especially in a market where holding costs can add up quickly if the property sits vacant or needs upgrades before renting.
2. Choose High-Rent Neighborhoods with Convenient Access
Invest in areas with strong rental demand and easy access to major roads, freeways, and business hubs like El Segundo and LAX. Properties near Sepulveda Boulevard or Aviation Boulevard are especially attractive to commuters.
Tenants are willing to pay more for convenience and a shorter commute, particularly professionals working in tech, aerospace, or entertainment.
3. Invest Near Job Hubs to Attract Reliable Tenants
Look for properties near employment centers that draw long-term renters with stable income. Manhattan Beach is close to growing industries in Silicon Beach and the South Bay, where job stability and higher salaries are common. Being close to major employers helps reduce vacancy periods and brings in tenants who are more likely to meet their rental obligations.
4. Run the Numbers Before You Buy
Calculate your expected rental income, maintenance costs, taxes, and property management fees before making a purchase. Factor in realistic vacancy rates and plan for future repair or improvement costs. In a premium market like Manhattan Beach, profitability depends on accurate forecasting and smart financing, and avoiding reliance on overly optimistic income projections.
5. Focus on Neighborhoods That Match Tenant Lifestyles
Manhattan Beach offers a premium coastal lifestyle, so select neighborhoods that appeal to your ideal tenant, whether it’s young professionals, families, or retirees. Homes near the beach, in walkable areas, or in top school zones each cater to different demographics. Understanding your target renter helps you choose the right property and market it effectively.
6. Boost Rental Appeal with High-End Finishes and Outdoor Space
Modern kitchens, updated bathrooms, and private outdoor areas make a big difference in this luxury market.
Tenants in Manhattan Beach expect a higher standard of living and are willing to pay more for it. Adding features like central air, hardwood flooring, or a small patio can increase both rent value and tenant satisfaction. If you're looking to improve your property, reach out to the experts at Jambi Property Management for a free rental analysis.
7. Highlight Local Amenities Like Dining and Retail
Choose investment properties near popular restaurants, cafes, and shopping centers such as Manhattan Village or the downtown district. Walkability to dining and shopping is a major plus in tenant decision-making. Highlighting local amenities in your listings can make your property stand out in a competitive market.
8. Target School Zones to Attract Family Tenants
Properties near top-rated schools in the Manhattan Beach Unified School District are in high demand, especially among families. These renters often stay longer, provide stable income, and take better care of rental units. Larger floor plans or homes with yards are particularly attractive in these areas.
9. Consider Community Vibe and Tenant Retention
Neighborhoods with parks, local events, and active community associations create a strong sense of belonging. Tenants who feel connected to the area are more likely to renew leases, reducing turnover and vacancy-related costs. A stable tenant base means less time and money spent on marketing, screening, and repairs between leases.
10. Use a Property Management Company to Maximize Returns
Working with a local property management team like Jambi Property Management ensures professional tenant screening, rent collection, maintenance coordination, and compliance with local regulations.
This support is especially useful for out-of-town investors or those with multiple properties. A good management company also helps maintain tenant satisfaction and property value over time.
In a Nutshell: Real Estate Investing Tips in Manhattan Beach
Manhattan Beach offers a unique mix of convenience, career opportunities, luxury housing, and lifestyle benefits. Its strong school system, beach access, and vibrant community events make it an attractive place for many tenants. When investing here, focus on properties with strong long-term potential, pay attention to location, and be prepared to meet the expectations of a high-end rental market.
At Jambi Property Management, we specialize in helping landlords succeed in Manhattan Beach. From tenant screening and rent collection to property maintenance and local market expertise, we offer full-service solutions tailored to investment property owners. When you’re ready to make your move in Manhattan Beach, contact Jambi Property Management today!