This summer the Lake Tahoe real estate markets have been buzzing with buyer activity, which is much welcomed considering all the doom and gloom you hear in the news about the economy and real estate. Tahoe home buyers have been very active due to historically low interest rates, soft home pricing, and motivated sellers which has created great opportunities in this majestic region of California. Many buyers have also noted that with the volatility in the stock markets, the Tahoe housing market is a great place to invest for the long term.
Statistics: The statistics below are on a year over year basis for single family homes (lakefronts excluded) in the greater Truckee and N. Lake Tahoe region, MLS areas 1-9.
Year over Year Stats (Jan1st – Sept 22nd)
Average Price: down 13.58% from $613K to $529.7K
Median Price: down 8.5% from $470K to $430K
Number of Sales: up 7.5% from 517 to 559
Days on Market: are down 6.19% from 113 days to 106 days
These statistics show that pricing is still soft, marketing times are getting shorter and confirm that buyer activity continues to increase. With increased buyer activity it is no wonder that marketing times would shorten. You would think that with supply and demand coming into alignment we would see more stability in the market. Unfortunately with all the Short Sales and REO’s (distressed sales), we have a 3rd variable which is keeping the greater Tahoe markets from recovery.
The chart below shows the Truckee/N. Tahoe real estate stats from 2006 to Present. Notice that the sales volume has sharply increased over the last 3 years as housing affordability has increased.
Even though the current market would be considered a “Buyers Market”, it is not the traditional buyers market that people envision as there are lots of people competing for the best priced/highest quality homes available. Many of my buyers have looked at homes in the areas they want to live and come up disappointed in the inventory as many of the homes available have issues relating to differed maintenance, incomplete remodeling, sub-par remodeling, funky floorplans, etc. These buyers then wait for a quality home that meets their needs to come on the market. Guess what thought, there are dozens of other buyers that are in the same situation, so when quality homes come in the market, they often sell quickly and most of the time there are multiple offers. So even though it’s a buyers market, timing is everything, and the huge discounts people anticipate are not always available on quality homes in the Lake Tahoe region.
As the regions premier Realtor I help my clients combat this competitive buyers market by keeping a close eye on inventory, listening to my clients wants/needs, previewing inventory, and by setting my clients up to receive automated email notifications when new listings that meet their needs come on the market. These listing notifications are real time and let my clients see new listings and price reduced listings as soon as they hit the MLS! This is an amazing tool that will help you keep your fingers on the pulse of the Tahoe markets.
Search the entire Truckee and N. Tahoe MLS
Let me know if you have any questions or if you would like to discuss your real estate goals. I am always available so feel free to contact me anytime. Have a great day and I look forward to talking soon.
David Westall, Realtor
Tahoe Riverfront Realty, Inc.
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