He was arrested at the property in the suburb of Alhambra around 0500 (1300 GMT) on Monday after someone inside alerted police.
He was freed a few hours later on bail of $1m.
The 62-year-old producer is expected to appear in court later this week to be formally charged with murder and will be defended by Robert Shapiro, the lawyer made famous by the OJ Simpson trial.
The dead woman has been named as 40-year-old Lana Clarkson of Los Angeles but investigators would not comment on her possible relationship with Mr Spector.
Mr Shapiro said he did not know "answers to any of this" when contacted at the Alhambra Police Department before his client's release on bail.
House sealed off
Los Angeles County Sheriff's Department said that a firearm had been recovered in the mansion and no-one else was being sought in connection with the killing.
"
His mental state has been great - very rational, very together
"
Marvin Mitchelson, friend
Police sealed off the front of the house, a 10-bedroom mansion called Pyrenees Castle, and examined a black Mercedes car parked in the driveway. Forensic teams are continuing to search the house.
Neighbours said the reclusive multi-millionaire, who reportedly lived alone, had not been seen at the house recently.
The Associated Press news agency quoted attorney Marvin Mitchelson, a friend of the producer, as saying Mr Spector had been working on a film about his life.
"His mental state has been great - very rational, very together," Mr Mitchelson said.
Trademark sound
Mr Spector is famous for producing acts like the Beatles, the Ronettes, Tina Turner, and the Ramones.
He is considered a pioneer in rock music production and is famed for his influential technique, known as the Wall of Sound, which featured soaring orchestration and multi-layered vocals.
It became a trademark of some of the most acclaimed pop hits of the 1960s, such as The Crystals' Da Doo Ron Ron and the Ronettes' Be My Baby.
Mr Spector won two Grammy awards for his work and is featured in the Rock and Roll Hall of Fame museum in Ohio.