The new Beverly Hills: Suburb of Beverlywood becomes most sought after in LA with modest 3 bed houses that used to cost $200,000 now going for $3 MILLION

Beverlywood has become Los Angeles' most sought after neighborhood with three bedroom homes that sold for $200,000 a decade ago now priced at over $3 million.

The neighborhood just south of Beverly Hills has 'blown up' in recent years and sent house prices rocketing, even for properties that are very modest, or even run-down. 

It was originally developed as a middle-class haven in the 1940s with 1,350 family homes set on gently curving streets with parks and playgrounds. 

Marc Noah, a real-estate agent with Sotheby’s International Realty – Beverly Hills Brokerage, told the Wall Street Journal: 'Ten to 15 years ago, you used to be able to buy a house in Beverlywood for $200,000 to $300,000. 

'Today, you can’t buy just land on any of the prime streets for less than $3 million. That $3 million dirt buys you a 6,500 square foot lot.'

This  very modest 1,700 sq foot three bedroom home is on the market for $2,199,000

Realtors say many buyers plan to knock houses down and build back bigger

Beverlywood sits just to the South of Beverly Hills in Los Angeles

A homes association regulates housing design, landscaping and provides a 24-hour security patrol in the area. 

Zillow currently has 14 homes listed for sale in Beverlywood - only one of them, a two bedroom condo, is priced under $1 million.

Price per square foot has steadily climbed from $679 in 2017 to $982 in 2023 and prices keep ticking up. 

The most expensive home in the area to sell last year - an eight bedroom modern home - sold for a staggering $8 million. 

The boom is being driven by young families moving in. 

Many of them are young professionals in finance, tech and medicine with big employers nearby including Apple and Amazon. 

The homes in the suburb are typically unassuming single-story ranch houses.

But new owners buy with the plan to remodel or even tear houses down to build back bigger. 

Coldwell Banker real-estate broker Ben Lee told the Journal: 'There’s always a lack of inventory in Beverlywood. The tight inventory pulls pricing up. 

'If you want a property, you’ve got to be prepared to fight for it.'

He said a good way to get your foot in the door is to buy an under-construction property from a developer. 

He said: 'Sometimes the homeowner can even customize finishes to their taste.' 

This low ranch style home is on the market for $2,195,000

The two-bedroom home has been viewed online over 320 times in 24 hours

The two-bedroom has wood-panelling throughout and is on the market to be sold 'as is' 

Some of the most sought after homes sit on the northwest side of Duxbury Circle which is set on a hill with sweeping views over the Hillcrest Country Club below. 

It's a great time to be a seller in the area too, and Meir Nemetsky, a Power Brokers real-estate agent, told the Journal that any home listed for $2 million attracts a 'circus'. 

Nemetsky said: 'If you price your house conservatively, because of the competitiveness in the area, you could be dealing with 10 or 20 offers and houses going $100,000 over asking or more.' 

But not everything is selling quickly, one unassuming three-bedroom home was put on the market at $2,299,000 in July last year, since then owners have dropped the price by $100,000. 

Another 2-bedroom home in Beverlywood, listed for $2,195,000 on Zillow on Monday, had already been viewed on the site over 300 times.