The Best Los Angeles Neighborhoods for Renting on a Budget

Imagine a place with year-round sunshine and a mild Mediterranean climate. One where you can visit the beach just as easily as the mountains. Palm trees line the streets, and you only need one wardrobe for all seasons. That place, of course, is Los Angeles. 

Although Los Angeles is notorious for being one of the world’s most expensive cities, there are numerous Los Angeles neighborhoods that offer budget-friendly rent prices.

In particular, Montecito Heights, Van Nuys, San Pedro, Tarzana, Lake Balboa, Atwater Village, and Koreatown all boast rental rates well below the Los Angeles average rent of $2,424 for a one-bedroom apartment and $3,428 for a two-bedroom apartment. 

*Average rent prices are accurate as of June 2023.

**Savings are calculated by deducting the neighborhood’s average rent from the city’s overall average rent for the same number of bedrooms. We used the Rent Market Trends neighborhood comparison tool to determine the difference in rent prices.

Montecito Heights

Average 1BR: $1,412 per month ($844 less than the city average) Average 2BR: $1,478 per month ($946 less than the city average)

Want to be close enough to the city that you can see it, while also being in touch with nature? Look no further than Montecito Heights. This neighborhood sits just four miles northeast of Downtown LA, amid steep hills that lend an array of spectacular views.

In addition to great outdoor opportunities, Montecito Heights offers a peek into life in 19th-century Southern California at the Heritage Square Museum. You can also get a taste of city life along bustling Broadway, where you’ll find a slew of diverse eateries, markets, shops, salons, and more. Multiple stops on the Gold Line connects Montecito Heights to Downtown LA or Pasadena in less than 25 minutes.

Van Nuys

Average 1BR: $2,174 per month ($535 less than the city average) Average 2BR: $2,936 per month ($625 less than the city average)

If vintage vibes make your heart flutter, you belong in the heart of the Valley! The San Fernando Valley, that is. Van Nuys is an LA suburb bursting with retro charm. If the neighborhood looks familiar to you, it probably is. Many popular films and TV shows have been filmed here.

Van Nuys offers plenty of affordable eateries throughout the community, from old-fashioned hot dog stands to delectable taco spots and more. Thrift stores provide all kinds of thrifty finds in addition to multiple flea markets and bodegas. A wide variety of family-run businesses contribute to the area’s community-oriented atmosphere, while numerous auto dealerships make it a modern destination for car buyers throughout LA. With easy access to multiple freeways and the Van Nuys Orange Line Station, residents enjoy simple commutes and travels to Burbank, Downtown LA, and beyond.

San Pedro

Average 1BR: $1,447 per month ($977 less than the city average) Average 2BR: $2,426 per month ($1,002 less than the city average)

Oceanfront living isn’t out of your budget when you search for an apartment in San Pedro. Home to the Port of Los Angeles, San Pedro offers residents easy access to superb amenities like fresh seafood, fascinating museums, beautiful beaches, White Point Park, Point Fermin Park, and Cabrillo Marine Aquarium.

San Pedro also contains a historic downtown, complete with charming shops, diverse eateries, and a vibrant arts scene. Convenience to the entire Southern California Freeway System as well as the Metro’s Silver Line connects San Pedro to Downtown LA, El Monte, and all of SoCal.

Tarzana

Average 1BR: $1,678 per month ($746 less than the city average) Average 2BR: $2,334 per month ($1,094 less than the city average)

Tarzana is a primarily residential community with an array of rental properties nestled along scenic streets. Speaking of scenic, Tarzana’s natural beauty offers a respite from city life, along with an overall peaceful atmosphere. Locals flock to Marvin Braude Mulholland Gateway Park to explore the beautiful trails and the even better views.

Located in the San Fernando Valley (near the aforementioned Van Nuys), Tarzana isn’t completely sequestered from commercial offerings. Ventura Boulevard is the community’s main thoroughfare, brimming with trendy boutiques and a wide variety of restaurants. Tarzana is especially popular among those commuting to nearby Woodland Hills and Century City.

Lake Balboa

Average 1BR: $1,637 per month ($787 less than the city average) Average 2BR: $2,646 per month ($782 less than the city average)

Also situated in the San Fernando Valley (last one—I promise!), Lake Balboa offers a suburban SoCal atmosphere similar to Tarzana. Natural beauty is everywhere in Lake Balboa, in the form of mountain views, lush landscaping, and gorgeous parks. The neighborhood is, of course, home to its massive namesake park: Lake Balboa/Anthony C. Beilenson Park, a popular spot for all kinds of outdoor activities.

Lake Balboa is also convenient to Sherman Oaks Castle Park, a family-fun center complete with mini golf, batting cages, and an arcade. Quick access to the 405 and 101 freeways affords Lake Balboa residents easy commutes and travels to Greater LA.

Atwater Village

Average 1BR: $993 per month ($787 less than the city average) Average 2BR: $1,195 per month ($782 less than the city average)

You can even live in a hip place for an affordable price! Tucked between Glendale and the Los Angeles River, Atwater Village is a charming neighborhood in a great locale. Atwater Village contains a vibrant commercial district along Glendale Boulevard, comprised of diverse restaurants, trendy shops, and local offices in a walkable environment.

Atwater Village also offers great mountain views along with easy access to hot destinations like Silver Lake, Downtown Glendale, and the famous Griffith Park. Convenience to the 5, 134, and 110 freeways as well as the Metrolink Glendale Station makes getting around Greater LA a breeze.

Koreatown

Average 1BR: $1,877 per month ($547 less than the city average) Average 2BR: $2,568 per month ($860 less than the city average)

Last, but never least, is Koreatown. Located just west of Downtown LA, Koreatown is a vibrant urban neighborhood teeming with eclectic offerings. Koreatown, nicknamed K-Town, boasts phenomenal cultural amenities—from the art-deco Wiltern to the three-story Koreatown Plaza and countless delectable restaurants serving up international fare.

This neighborhood is an excellent choice for renters seeking a true urban experience (for an affordable price) in Los Angeles. K-Town is densely populated, lending a great walkable environment for its many residents. Several Metro stops on the Red and Purple Lines makes getting around from Koreatown easy breezy.

Although LA is better known for being expensive, there are plenty of ways to enjoy living in La La Land on a budget. You can live in an affordable, renter-friendly neighborhood (like any of the ones listed above), take advantage of free activities, and explore the lesser-known areas you might not find in a typical travel guide.