ZEPHYR COVE, NV – The Lake Tahoe real estate market continued to level off in recent months, due in large part to the lack of inventory. Sales volume was down 15 percent around the lake and units sold was down 19 percent.
The figures are part of a report released by Lake Tahoe-based real estate company Chase International, and compare the prices and closings from January 1, 2014 through September 30, 2014 to the same time period of 2013. The median price of a home in Lake Tahoe is down 19 percent to $472,000 while the average was up six percent to $829,502. Sales of homes priced over a million was down 16 percent and those sold for under a million was down 20 percent.
“The decline in sales is a direct result of lack of inventory,” said Sue Lowe, corporate vice president of Chase International. “The majority of lakefront homes have been sold and there’s not a lot to pick from, which also influences median prices.”
Lowe also notes that there were several multi-million confidential sales on the East Shore that are not reflected in the report, which typically would have boosted overall figures. Without those sales, East Shore shows a 13 percent decrease in volume, 15 percent drop in units sold, and six percent decline in median price ($649,000) but there was a 2% increase in average price.
Incline Village also experienced significant drops, with a 38 percent decline in volume and 36 percent drop units sold. The average home price dropped just three percent, to $1,451,610, while the median was up one percent to $888,000.
Tahoe City and South Shore both experienced upticks in sales and prices. Tahoe City with a five percent increase in sales volume and 11 percent rise in median price ($560,000). Units sold for more than a million was up 29 percent.
Volume was up one percent in South Shore, primarily due to a 27 percent jump in homes sold for more than a million. Both the median and average prices were up, eight percent ($349,000) and 17 percent ($456,197), respectively.
Truckee also experienced a solid increase with a seven percent rise in volume and 28 percent jump in units sold for over a million. Median home price was up 17 percent (to $587,250) and the average price rose 30 percent (to $885,642).
Lowe also attributes the decline in Nevada sales to the passing of California’s Prop 30 in 2013. The law greatly increased the number of buyers heading to Nevada for tax purposes, creating a surge of sales last year. Those numbers have since tapered off.
“We’re really just seeing a stabilization of the market,” Lowe said. “We’re not seeing any major depreciation or appreciation, which puts us in line with the rest of the nation.”
The lake-wide condo market is benefitting from the lack of inventory. There was a 13 percent rise in units sold for more than $500,000, with a ten percent increase in both the median ($345,000) and average ($485,696) prices.
Click here for the 2014 Tahoe Third Quarter Statistics.
About Chase International
Headquartered in Lake Tahoe, Nevada since 1986, with nine offices in the region (Zephyr Cove, Glenbrook, Incline Village, Tahoe City, Squaw Valley, Truckee, South Lake Tahoe, Carson Valley and Reno) and one in London, England, Chase International and its exclusive affiliations handle a large share of the country’s property. With 260 professional Realtors® boasting an array of industry certifications and the highest volume per sales agent in the area, Chase International successfully represents homes at all price levels. For more information about Chase International, visit www.chaseinternational.com.