Malibu Real Estate Market Update - Malibu Home Prices and Fire Rebuild Fall 2026

By Jocelyn Kelley | Last updated September 29, 2026

Earlier this month, Denise and George Toberman of Big Rock became the first Malibu family to receive a certificate of occupancy for a home rebuilt after the Palisades Fire. It took eleven months from permit to move-in. "Coming home is something I have looked forward to since the fire," Denise said.

Malibu has always been part of my life. I rode horses here as a girl, my children's grandparents owned homes here, where our family spent time on the grounds, with the horses and at Little Dume, and friends I grew up with still call Malibu home. So when I read the headlines saying Malibu prices are falling, I want to tell you what the numbers actually say.

1. Malibu Market at a Glance

Q2 2026 (Combined LA Westside MLS): 48 single-family sales, up from 23 a year earlier. Median $4,089,910, down from $4,825,000. Price per square foot about $1,427, flat year over year.
Three months through August 2026: median about $3.63 million, down 12%, with 46 sales, up 12.6%. Median time on market 91 days, and homes sold for about 93% of list.

2. Why the Median Is Down, and Why That Is Not the Whole Story

Malibu's median fell because more entry-level homes sold, in neighborhoods like Sunset Mesa and Corral Canyon, not because a Point Dume bluff or Broad Beach home is suddenly worth less. Value per square foot held flat, which is the clearest sign that underlying values are steady. What has changed is pace. Homes take about three months to sell, and buyers expect room to negotiate. In Malibu right now, pricing and patience are everything.

3. Where the Malibu Rebuild Stands

As of September 14, the city had issued its 100th fire rebuild permit and granted 370 planning approvals, with 66 more projects in plan check. City Manager Joe Irvin called the first move-in a milestone that "brings the meaning of recovery home." The Malibu Rebuild Center offers direct help with planning, permitting, construction and inspection, and fee waivers are available for eligible like-for-like rebuilds.

The pace is slower than in the Palisades, which passed 1,000 homes under construction in August. Septic, coastal and geology review add time in Malibu. For buyers, that means soils, septic and coastal reports belong at the front of every escrow, not the end.

4. PCH and the Coastline

In August, city staff reviewed about 320 beachfront parcels and identified 23 high-priority sites along Pacific Coast Highway at risk before winter storms, with the 20000 block the most serious because of exposed gas and water lines. Caltrans aims to address all 23 locations by the end of October. For beachfront owners and buyers, the condition of the seawall, slope and drainage now carries as much weight in value as the view.

5. Insurance and Rates

FAIR Plan rates rise an average of 29.1% on October 15. Get an insurance quote before removing contingencies on any Malibu property. Los Angeles County also sued State Farm on August 31 over its 2025 wildfire claims handling, so if you are still settling a claim, keep your documentation complete. Mortgage rates averaged 7.03% on September 24, according to Freddie Mac. Many Malibu buyers pay cash or use private-bank financing, so pricing and presentation matter more here than rates.

6. What It Means for You

If you are selling: Price to recent sales in your own neighborhood, not the citywide median, and have inspections, septic and coastal reports ready before you list. Well-prepared homes are what sell in 91 days instead of 180.

If you own a burned lot: With permits, planning approvals and the first move-in now behind the city, rebuild timelines are becoming easier to underwrite, and that helps buyers put a value on land.

If you are buying: Malibu offers real room to negotiate, especially on listings that have been on the market for more than 60 days. The entry level, from Sunset Mesa to Corral Canyon, is where the most activity is.

Frequently Asked Questions

Are Malibu home prices going down? The median is down because more entry-level homes sold. Price per square foot was about $1,427 in Q2 2026, flat year over year, according to Combined LA Westside MLS data.

How many Malibu homes have been rebuilt after the Palisades Fire? As of mid-September 2026, Malibu had issued 100 rebuild permits and its first certificate of occupancy, to a family in Big Rock.

How long does it take to sell a home in Malibu? About 91 days at the median, for the three months through August 2026.

Work With a Born-and-Raised Westside Realtor

I was born and raised on the Westside of Los Angeles. I grew up in Pacific Palisades, rode horses in Malibu as a girl, and have built my career from my Berkshire Hathaway office on Wilshire Boulevard in Santa Monica. Malibu is where I spent my childhood on horseback, and where my family made memories at Little Dume. These are not markets I study from a distance. They are my home, my family's home and my friends' home, and it is an honor to help my neighbors through one of the most important decisions they will ever make.

I will pull the exact MLS sales on your street, tell you what your property would likely sell for this fall, and walk you through whether to sell, hold, rebuild or buy.

When you work with me, you get a born-and-raised local and the full strength of Berkshire Hathaway HomeServices California Properties:

Chairman's Circle Gold, top 2% of more than 50,000 Berkshire Hathaway HomeServices agents worldwide, and Leading Edge Society
The reach of a global network and one of the most trusted names in business, bringing qualified buyers to your door from across the country and around the world
Luxury marketing, private buyer and seller connections, and a trusted network of Westside lenders, builders, architects and insurance advisors
Nearly two decades of Westside experience, licensed since 2007

Ready to talk? Request a private home valuation at jocelynkelleyrealestate.com, call or text me directly at (310) 963-2524, or email [email protected]. I answer personally, and I would love to hear from you.

©2026 BHH Affiliates, LLC. Real Estate Brokerage Services are offered through the network member franchisees of BHH Affiliates, LLC. Most franchisees are independently owned and operated. Berkshire Hathaway HomeServices and the Berkshire Hathaway HomeServices symbol are registered service marks of Columbia Insurance Company, a Berkshire Hathaway affiliate. Equal Housing Opportunity.