The landslide happened in the same Newport Beach neighborhood where a 2023 slide led to the demolition of one home.
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The structures themselves were not damaged, but the residents were advised to enter the properties only to get their belongings. It was recommended they not spend the night in their homes for now.
City officials are working with the homeowners to prevent further movement and protect their homes.
John Pope, a spokesman for the city of Newport Beach, says the landslide was first reported around 4 a.m. and city inspectors were sent to the area, ultimately deciding to issue the yellow tags. One home was most affected, but the two neighboring properties were included in the yellow tags.
He said the homeowners were already aware of the hazard and had recently hired a geotechnical expert, who determined there had been some movement of land. The homeowners were already preparing to submit plans to the city to stabilize the hillside.
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The homes are in the 1400 block of Galaxy Drive, overlooking Newport Bay.
More rain is expected Friday in Southern California.
The March 2023 landslide on Galaxy Drive resulted in several evacuations. Pope said one home ultimately had to be demolished.
Landslide in Newport Beach swallows backyard; prompts evacuations