The Gold-to-House Ratio: Are West LA Homes Overpriced? #losangelesrealestate #wealth #gold

Added: 2026-06-10

[00:00:00]What if instead of pricing houses in dollars, we started pricing them in gold? This is an actual thing. It's called the gold-to-house ratio. And let me explain to you how it works. Today, the median Westside home costs about 2.8 million with gold around $4,500 an ounce. So, it takes more than 600 oz of gold to buy that home.

[00:00:20]Today's ratio was roughly double what it was in 2011. That doesn't mean that home prices are about to fall, but it does suggest compared to gold, West Los Angeles real estate is expensive by historical standards. And right now, West Los Angeles real estate costs [music] a lot of gold. Or, is gold inexpensive compared to home prices?

[00:00:41]Hmm.