We are in the midst of the summer selling season and July was off from the big numbers in June but in line or ahead of the same selling period the last 4 years. The number of sales is still significantly ahead of last year and numerous subdivisions are seeing lots of activity.
The market segment that is getting the most attention is the lower end, under $500,000. It was not very long ago that this market segment did not even exist. First time homebuyers are able to get into the market with lower prices, tax incentives and favorable loan rates.
The upper end especially over $1 million is very challenged. The sales numbers are down dramatically and inventory is up. There have been 50 sales over $1 million this year versus 98 last year. The reduction has been fueled by Tahoe Donner where there are 35 less sales over $1 million this year. The overall inventory has not grown significantly this year and is still below normal levels.
The land market continues to be anemic and prices are down 50% to 75%.
Tahoe Donner®
There were 20 home sales with the highest being $859,000. The over $1 million market is way off from last year. There have been 6 sales this year versus 41 last year to this date. From this time forward until the end of 2008 only 2 more homes over $1 million sold. So in other words there were 41 sales the first 7 months of 2008 and there have been 8 in the last year. Currently there are 35 for sale indicating a 4 year supply at this sales level.
The short sale category, those homes that have a higher mortgage than the home value are now growing exponentially. Over 50% of the sales are now short sales.
Inventory levels for the total housing market are below last year.
There were 2 lot sales, one being a multi family lot.
Lahontan/Martis Camp/Timilick
There was 1 home sale in Lahontan and 1 townhome in Timilick. There have been 7 sales so far this year which is right on the historical pace.
There were 2 lot sales in Martis Camp.
Old Greenwood/Grays Crossing
There were 2 home sales in Old Greenwood. There have been 11 home sales in Old Greenwood this year which is right off the charts for sales numbers. There have been 2 home sales in Grays.
There were 2 lot sales in Old Greenwood and 1 in Grays Crossing.
Northstar
There were 3 home sales, 2 village condo sales and 1 townhome. There have been 11 home sales this year which is right on historical pace.
Glenshire/Sierra Meadows/Prosser/Donner Lake
There were 42 home sales which is a very big month. The median price is $394,000 so it is the entry level of the market. Of these sales about 50% were short sales.
Squaw Valley / Alpine Meadows
There were 8 sales in Squaw and 3 in Alpine Meadows. Prices especially in Squaw have eroded to a level that buyer interest is being generated. There have only been 10 closed sales in Squaw up to this date, so 8 sales in one month is a big jump.
If you would like more detailed information or specific information related to your property, please do not hesitate to call.
If you know anyone that we can assist to become an owner in our beautiful area and be one of your neighbors, please let us know. If there is anything we can do to help you with your business, we would like to know.
The market experienced a slow down the last 2 weeks of October. There were 2 sales in Old Greenwood, which has been very slow so far this year. Tahoe Donner saw 4 home sales in the $1,400,000 range. All in all sales off but definitely interest in our market.
The lot market was still very slow.
Tahoe Donner
There were 12 home sales with 4 sales over $1 million. There were 3 lot sales. Lahontan There were no home sales.
Old Greenwood/Grays Crossing
There were 2 home sales in Old Greenwood, no sales in Grays Crossing.
Northstar
There was one home sale, asking price $3,125,000.
Glenshire/Sierra Meadows/Prosser/Donner Lake
There were 12 home sales concentrated in the lower end of the market.
Squaw Valley / Alpine Meadows
There were 3 home sales in Alpine Meadows and one condo sale in Squaw.
If you would like more detailed information or specific information related to your property, please do not hesitate to call. If you know anyone that we can assist to become an owner in our beautiful area and be one of your neighbors, please let us know. If there is anything we can do to help you with your business, we would like to know.
The market experienced a slow down the last 2 weeks of October. There were 2 sales in Old Greenwood, which has been very slow so far this year. Tahoe Donner saw 4 home sales in the $1,400,000 range. All in all sales off but definitely interest in our market.
The lot market was still very slow.
Tahoe Donner
There were 12 home sales with 4 sales over $1 million. There were 3 lot sales. Lahontan There were no home sales.
Old Greenwood/Grays Crossing
There were 2 home sales in Old Greenwood, no sales in Grays Crossing.
Northstar
There was one home sale, asking price $3,125,000.
Glenshire/Sierra Meadows/Prosser/Donner Lake
There were 12 home sales concentrated in the lower end of the market.
Squaw Valley / Alpine Meadows
There were 3 home sales in Alpine Meadows and one condo sale in Squaw.
If you would like more detailed information or specific information related to your property, please do not hesitate to call. If you know anyone that we can assist to become an owner in our beautiful area and be one of your neighbors, please let us know. If there is anything we can do to help you with your business, we would like to know.
The market experienced a slow down the last 2 weeks of
October. There were 2 sales in Old Greenwood, which has been very slow so far
this year. Tahoe Donner saw 4 home sales in the $1,400,000 range. All in all
sales off but definitely interest in our market.
The lot market was still very slow.
Tahoe Donner
There were 12 home sales with 4 sales over $1 million. There
were 3 lot sales.
Lahontan
There were no home sales.
Old Greenwood/Grays
Crossing
There were 2 home sales in Old Greenwood, no sales in Grays
Crossing.
Northstar
There was one home sale, asking price $3,125,000.
Glenshire/Sierra Meadows/Prosser/Donner Lake
There were 12 home sales concentrated in the lower end of
the market.
Squaw
Valley / Alpine Meadows
There were 3 home sales in Alpine Meadows and one condo sale
in Squaw.
If you would like more detailed information or specific
information related to your property, please do not hesitate to call.
If you know anyone that we can assist to become an owner in
our beautiful area and be one of your neighbors, please let us know. If there
is anything we can do to help you with your business, we would like to know.
The market experienced a slow down the last 2 weeks of
October. There were 2 sales in Old Greenwood, which has been very slow so far
this year. Tahoe Donner saw 4 home sales in the $1,400,000 range. All in all
sales off but definitely interest in our market.
The lot market was still very slow.
Tahoe Donner
There were 12 home sales with 4 sales over $1 million. There
were 3 lot sales.
Lahontan
There were no home sales.
Old Greenwood/Grays
Crossing
There were 2 home sales in Old Greenwood, no sales in Grays
Crossing.
Northstar
There was one home sale, asking price $3,125,000.
Glenshire/Sierra Meadows/Prosser/Donner Lake
There were 12 home sales concentrated in the lower end of
the market.
Squaw
Valley / Alpine Meadows
There were 3 home sales in Alpine Meadows and one condo sale
in Squaw.
If you would like more detailed information or specific
information related to your property, please do not hesitate to call.
If you know anyone that we can assist to become an owner in
our beautiful area and be one of your neighbors, please let us know. If there
is anything we can do to help you with your business, we would like to know.
The market experienced a slow down the last 2 weeks of
October. There were 2 sales in Old Greenwood, which has been very slow so far
this year. Tahoe Donner saw 4 home sales in the $1,400,000 range. All in all
sales off but definitely interest in our market.
The lot market was still very slow.
Tahoe Donner
There were 12 home sales with 4 sales over $1 million. There
were 3 lot sales.
Lahontan
There were no home sales.
Old Greenwood/Grays
Crossing
There were 2 home sales in Old Greenwood, no sales in Grays
Crossing.
Northstar
There was one home sale, asking price $3,125,000.
Glenshire/Sierra Meadows/Prosser/Donner Lake
There were 12 home sales concentrated in the lower end of
the market.
Squaw
Valley / Alpine Meadows
There were 3 home sales in Alpine Meadows and one condo sale
in Squaw.
If you would like more detailed information or specific
information related to your property, please do not hesitate to call.
If you know anyone that we can assist to become an owner in
our beautiful area and be one of your neighbors, please let us know. If there
is anything we can do to help you with your business, we would like to know.
How is the market? We get that question wherever we go.
Well, the facts are that in some areas, notably Tahoe Donner and Lahontan, the market is better than a year ago. Inventory has not gotten out of control and that is the most important gauge of the market. Areas in the country that have problems it is because inventory is through the roof. They simply built too many homes there. That is hard to do here do to scarcity of land and approvals.
We actually are seeing multiple offers and back up offers on properties that are priced to or below the market.
Last week, and into this week with the Bailout proposal and markets totally scared, we are seeing offers. Are there people sitting on their hands, you bet? The point is that the market is not stopped.
The segment of the market that is totally upside down is land. There are great deals with prices off 50% and more from the peak. There were only 2 lot sales in the area, both in Grays Crossing, asking price of $160,000 and $150,000
It is a great time to be a buyer.
Tahoe Donner
This area is in high demand. The number of single family home sales is 23% greater than 2007. Dollar volume is up 16%, average sales price is up 6%. The number of homes sold over $1 million is up 142%. Land is another story.
Lahontan
There were no home sales in September however the market is way ahead of last year. There are 11 closed homes so far this year versus 6 at this time last year.
Old Greenwood/Grays Crossing
No home sales in September. These areas have excess inventory and prices have been reduced dramatically.
Northstar
There were 6 residential sales in September. Sales have really been off year to date and then a fury last month
Glenshire/Sierra Meadows/Prosser/Donner Lake
This market is very price sensitive. There were 18 sales, a little off from seasonal norms, however only 4 above $700,000 and none over $1 million.
Squaw Valley / Alpine Meadows
There were 2 home sales in Squaw and no sales in Alpine.
If you would like more detailed information or specific information related to your property, please do not hesitate to call.
If you know anyone that we can assist to become an owner in our beautiful area and be one of your neighbors, please let us know. If there is anything we can do to help you with your business, we would like to know.
The market has experienced a little more activity the last
few months versus 1 year ago. So, year
to date we are pretty much right on pace with last year. Home inventory levels
are slightly higher than last year and recent sales activity has been more
concentrated in the lower ranges of the market. The last couple of weeks saw an
increase in the number of sales over $1 million.
Land continues to be the most challenged segment of the
market with inventory levels, extremely high. Prices are done dramatically and
there are lots of good buys.
Historically June has been one of the slowest months for
sales in our area. Typically the 4th week of June starts the summer
season.
Tahoe Donner
Home sales were slightly above the rate of last year and
there were no lot sales.
Lahontan
There were no home sales and 2 lot sales.
Old Greenwood/Grays
Crossing
There were no home sales and 2 lot sales in Grays Crossing.
Northstar
There were no home or condo sales.
Glenshire/Sierra
Meadows/Prosser/Donner Lake
There were 10 sales for the area which is slightly below
normal. A Donner lakefront home, offered at $3,075,000 went under contract.
Squaw
Valley / Alpine Meadows
There was one home sale in Alpine Meadows and no condo sales
in either area.
If you would like more detailed information or specific
information related to your property, please do not hesitate to call.
If you know anyone that we can assist to become an owner in
our beautiful area and be one of your neighbors, please let us know. If there
is anything we can do to help you with your business, we would like to know.
The national marketplace is still very challenged. In a recent Economist magazine report the price drop now is greater than in the 1930 depression, yes greater than the depression. A sobering statistic indeed.
This makes the 1980 and 1990 markets look like a dream. Some places are seeing very fast decreases in the marketplace as lenders take back properties and slash the prices to get them off the books.
One segment of the market that is not afraid to buy is foreigners. As with the stock market for every seller there is a buyer who perceives the purchase to be a good deal.
The buyers are getting great deals and in many instances are purchasing for less than replacement cost.
Prices are back to 2003 levels which gives everyone that did not get in, another chance. The heard instinc does make this a difficult path the follow but usually proves to be great long term decision.
As we approach the summer season it is time to look at where the market is. Inventory is just about the same as last year. It appears we may not see a big run up for the summer season. It definitely is a buyer's market and they are looking for deals. The lending environment is still very challenging, firstly to get a loan and then to actually have them fund. Escrows are taking longer to close due to lending issues.
Most buyers are still sitting on their hands afraid to jump in. The fear is that prices could go lower. Yes they could and yes they may not. Last month we offered an article featured in Time Magazine that showed the folly of waiting if interest rates went up. You actually could pay more in a rising interest rate market even if prices fell another 10%. Well, as we mentioned there were strong signs rates could rise and they have.
Here is a recent post in the Wall Street Journal, "Interest rates on mortgages have spiked in the past 10 days, and there's a serious risk that they're going get a lot higher. If you act quick, you can still find some good deals." With inflation accelerating the chances of higher rates increase. Long term rates are function primarily of expected inflation rates. Currently we have negative real short term rates and a very high level of capital formation in the US market (printing money). These two functions have always led to higher inflation and higher commodity prices. Hence the strong current commodity markets. The interesting thing to note is that the biggest commodity is real estate and since it is in a down cycle it currently is not rising with other commodities. Could this change?
Keller Williams is pleased to announce exciting news, O'Neal brokers in Lake Tahoe is now part of the company. O'Neal is long established company serving Lake Tahoe and Squaw Valley. This will provide you greater access to the Lake Tahoe market area if that is your focus.
Disclaimer: ActiveRain Corp. does not necessarily endorse the real estate agents, loan officers and brokers listed on this site. These real estate profiles, blogs and blog entries are provided here as a courtesy to our visitors to help them make an informed decision when buying or selling a house. ActiveRain Corp. takes no responsibility for the content in these profiles, that are written by the members of this community.
<!--[endif]-->
;)
;)
