Decline in Demand and Increase in Inventory creates Excellent Buying Opportunities in South Lake Tahoe.
(LAKE TAHOE REAL ESTATE BLOG) We’ve just updated the Absorption Rates for the Stateline, NV side of our South Lake Tahoe real estate market. The links here will lead one to both the overall market absorption rates, there's a chart, and to detailed spreadsheets containing absorption rates by price range.
The absorption rate spreadsheets indicate the total number of homes sold in a particular price range in the last 365, 180, 90 and 30 days. The price ranges are in $50,000 increments up to $1M. After $1M, the price-range increases. For each price range, the absorption rate spreadsheets indicate:
- (1) the total number of homes sold in that price range;
- (2) the monthly absorption rate, or the average number of homes sold per month;
- (3) the total number of homes currently available in that price range;
- (4) the total number of months it will take to sell the current inventory.
There is also a FAQ to help one to better understand what absorption rates are and how they are used. Here’s a bullet-point summary followed by a brief review about what this latest update reveals: Summary:
- In the last 365 days in the Stateline, NV market of South Lake Tahoe, the average number of homes sold per month is 6.2.
- In 2007, the average number of homes sold per month was 6.
- It will take 20.4 months to sell the current inventory at an absorption rate of 6.2 sales per month.
The Bottom Line:
- It will take almost 2 years to sell what’s on the market now.
- There are more homes on the market than will sell in the next year... by far.
- Almost 50% of our current listings will not sell anytime soon.
- Motivated Sellers will increasingly represent Excellent Opportunities for Buyers.
Number Sales - Decline in Demand is Excellent Opportunity for Buyers
- There have been 74 homes sold on the Stateline, NV side of our South Lake Tahoe market in the last 365 days.
- There were only 74 homes sold in 2007.
Inventory - Increase in Supply is Excellent Opportunity for Buyers
- There are 126 listings currently available for sale.
- There were 123 listings at this time a year ago.
- Inventory load will produce more choices for Buyers.
- Inventory load will produce more motivated Sellers... who actually will sell at current market reality, rather than cling to prices that are no longer viable in today’s Buyer driven market.
Annual Results: Total Number Sales
- There were 89 single family homes sold in Stateline, NV of South Lake Tahoe in 2006.
- There were 140 single family homes sold in Stateline, NV of South Lake Tahoe in 2005.
- There were 173 single family homes sold in Stateline, NV of South Lake Tahoe in 2004.
- There were 120 single family homes sold in Stateline, NV of South Lake Tahoe in 2003.
Annual Results: Monthly Absorption Rates
- As of today, an average of 6.2 single family homes per month sold in Stateline, NV of South Lake Tahoe in 2008.
- An average of 6 single family homes per month sold in Stateline, NV of South Lake Tahoe in 2007.
- An average of 7 single family homes sold per month in Stateline, NV of South Lake Tahoe in 2006.
- An average of 12 single family homes sold per month in Stateline, NV of South Lake Tahoe in 2005.
- An average of 15 single family homes sold per month in Stateline, NV of South Lake Tahoe in 2004.
- An average of 11 single family homes sold per month in Stateline, NV of South Lake Tahoe in 2003.
We offer this information as a public service. It is the most complete current information on the overall Stateline, NV side of our South Lake Tahoe real estate market available. If you like what you see here and find it helpful, please call us for further help with buying or selling a Lake Tahoe home. We’re also always interested in comments and suggestions too.
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