Sherman Oaks Home Prices Are Down 12.8%: Should Sellers Be Worried?

Sherman Oaks sellers are seeing a market that looks contradictory at first glance: prices are lower year over year, but homes are selling faster. According to Redfin, homes sold for a median of approximately $1.50 million over the three months ending August 2026, down 12.8% year over year. At the same time, median days on market improved to 48 days from 65 days a year earlier, and 198 homes sold in August.

That is exactly why a neighborhood headline should not be treated as a valuation for an individual house. Sherman Oaks includes condos, traditional single-family homes, renovated properties, larger lots and luxury homes. A shift in which homes sold can move the median substantially.

Are Sherman Oaks buyers negotiating?

Redfin reports an average sale-to-list ratio of 98.9%, meaning the average home sells roughly 1% below list price. About 31.3% of homes had price drops in Redfin’s latest data. At the same time, about 31.2% sold above list price. The takeaway is not that every seller should discount; it is that buyers are distinguishing between well-positioned homes and listings they believe are overpriced.

Should I lower my Sherman Oaks asking price?

If a home is already listed, I would look first at showings, buyer feedback, competing inventory, pending sales and the closest property-level comparables. A price adjustment is one tool, not the automatic answer.

Read what to evaluate when a Los Angeles home has been on the market for weeks without an offer.

What should I do before selling?

Start by estimating what the property could realistically command today rather than applying the neighborhood median to your home. Request a personalized Los Angeles home value review. If the sale is funding your next purchase, pair that with a personalized next-home search so you can evaluate both sides of the move.

Thinking about selling in Sherman Oaks?

Visit the Sherman Oaks real estate guide or text Artin Hovsepian at (818) 601-6101 to discuss pricing, timing and your next move.

Data note: Figures are based on Redfin calculations using MLS and/or public-record data for the latest periods displayed when this article was published in September 2026. Market data can be revised and should not be used as an individual property valuation. Source: Redfin Sherman Oaks Housing Market.