The Mediterranean, constructed in 1927, sits on an ocean-view lot in a hilltop area known as Palisades del Rey. Original details include a carved beam ceiling, arched doorways and Malibu tile. Four bedrooms and three bathrooms lie within the 2,500 square feet of living space.
Colman, who died in 1958 at 67, won his Academy Award as the leading man in "A Double Life" (1947). Among his other films were "Random Harvest" (1942), "The Prisoner of Zenda" (1937) and "Lost Horizon" (1937).
The house previously changed hands in 2001 for $1,071,000, according to public records.
Alice Plato of Coldwell Banker, Marina del Rey, handled both sides of the transaction.