As we reflect on the trends of February 2024 in the esteemed Truckee – Tahoe region, we are presented with a canvas illustrating the shifting hues of our real estate market. This report endeavors to provide you with a discerning analysis of the recent patterns, setting the stage for a delightful spring season ahead.
Market Overview
February, a month characterized by its crisp alpine air and pristine snowy landscapes, concluded with 51 property sales. This number represents a 14% decrease from January, yet when viewed through the lens of year-over-year performance, it reflects a steadfast increase from the 47 sales of February 2023. These figures resonate with the rhythm of our market, which beats with the heart of both seasonal and economic cycles.
Month-over-Month Total Sales Transactions
Pricing Dynamics
The median sold price in February presented a narrative of adjustment, settling at $895,000. This value is a significant departure, 23% lower than the previous month and 19% beneath the same period last year. Such a shift underscores our market's sensitivity to broader economic conditions while also providing enticing opportunities for discerning investors and homebuyers seeking value amidst luxury.
Month-over-Month Total Sales Transactions
Sales Efficiency
Homes exchanged hands with a modest whisper rather than a fanfare, trading at 92.3% of the listed value. This rate, which is one of the gentlest whispers in the last two years, may speak to Buyers’ increased negotiation power or Sellers’ eagerness in certain transactions. It is a dance of offers and acceptance, each step measured and calculated.
Inventory Insight
The tapestry of our housing inventory continued its winter motif, with levels gently contracting to 2.1 months of available homes. This 12.5% reduction from January, yet curiously, is an increase from February of yesteryear's 1.89 months. It suggests a coalescence of serenity and anticipation in the market, as if the homes themselves are awaiting the bloom of spring's touch.
Months of Inventory
Temporal Trends
The tempo of sales decelerated slightly, with average days on market rising 39% from the brisk 57 days of January to a more measured 79 days in February. This pause aligns harmoniously with the previous year's tempo, indicating a consistent pattern in the time it takes for properties to find their destined custodians.
Average Days on Market
The luxury real estate segment was quiet, which in turn acted as the main driver for the notable decrease in overall market sold prices ($895,000). Price points sales for teh month of February were as follows:
- 26 sales <$1M
- 25 sales >$1m
- 10 sales >$2m
- 2 sales >$5M
- 0 Sales >$10M
Martis Camp posted one transaction with 2500 Chatwold Court closing over asking $7,415,000. Martis Camp data indicates that the overwhelming majority of homes close under asking (in 2022 only 6 out of 32 sales were over asking from their original launch price).
Lahontan also posted a single transaction with 7710 Lahontan Drive closing $195K from its launch price down to $4.5M.
Schaffer’s Mill reported two closing, with 9317 Heartwood Drive and 10236 Valmont Trail both closing under their initial listing prices. I was fortunate enough to be a part of the Valmont deal, representing the Buyer and successfully negotiating $85K off the asking price plus other Seller concessions.
Gray’s Crossing posted a single transaction with 11460 Ghirard Road closing $50K under asking to $2.55M. Of interest, of the past 10 single family home sales in Gray’s only 3 have been at or above the $3M price point. The remaining seven sales averaged $2.4M, signaling a strong Buyer appetite for homes in the sub $3M category.
The Village at Northstar posted 2 closings with Big Horn 505 and Catamount 403 both closing under asking. Big Horn in particular saw a massive 20% price capitulation, closing $124K down to $475K.
In Incline Village, the month of February witnessed a remarkable surge in the median sales price for single-family residences, rising to an impressive $2,987,500, marking an astounding 85.3% increase. This significant upswing reflects Incline Village's enduring appeal and the luxury market's resilience, solidifying its status as a bastion for high-value real estate investments. The increase speaks volumes about the area's desirability and the confidence high-net-worth individuals place in our real estate market.
Diving into the details, Incline Village's real estate market showcased a robust expansion in active inventory, with a 10.2% increase, demonstrating a total of 54 active listings. This increment echoes a growing trend towards diversification and availability in our luxury housing sector. Meanwhile, the closed sales stand at 8, signifying a 100% leap from the previous period. This notable growth is a testament to the high demand for premium living spaces in our pristine locale. The median days on market have seen a dramatic decrease of 63.3%, down to 88 days, suggesting that properties are moving more swiftly than in the past. Moreover, the median sold price per square foot stands at $887, marking a substantial rise of 40.3%. However, new listings experienced a downturn, with a 37.5% decrease to just 5 new listings, hinting at an exclusive market with carefully curated offerings. This blend of statistics points to a healthy, active market that's swiftly adapting to the desires of discerning buyers, setting the stage for an energetic spring season.
Spring Prognostications
As we stand on the cusp of spring, when the snow yields to reveal the first buds of renewal, the Truckee – Tahoe real estate market also anticipates its annual reawakening. With whispers of upcoming listings that promise to enchant and delight, and the ever-present allure of our majestic landscapes, the stage is set for a remarkable season.
