As the first month of 2024 has wrapped its wintry embrace around the pine-studded peaks of the Truckee – Tahoe area, our real estate market has continued to demonstrate the robust vitality that marks this region as a premier destination for luxury living. With the snow-capped horizons offering a majestic backdrop, the real estate scene here remains as enticing as ever, offering either a permanent or part-time escape from the hustle and bustle of an urban existence.
January maintained its steady pace with 59 transactions, mirroring the activity seen in the closing month of the previous year and a 23% increase in sales compared to the same month last year. With inventory tight, numbers like these indicate that ready, able, and willing buyers are watching the mortgage market and potentially purchasing now before home values increase with declining rates.
Month-over-Month Total Sales Transactions
The figures tell of rising fortunes: the median sold price for properties in January soared to $1,155,000, a hefty 24% climb from December and an impressive 19% year-over-year growth. This is a testament to the unwavering demand for the exclusive enclave that is the Truckee – Tahoe area, where each home is not just an investment in one’s portfolio but also personal retreat that provides incalculable personal benefits.
Month-over-Month Total Sales Transactions
As a stark contrast to the hyperactivity of the pandemic era market, homes traded at 96.25% of asking for the month of January. If you’re a buyer, take those asking prices with a grain of salt. If you’re a seller, ensure that you implement the correct strategies to factor in this trend. If you’re planning on buying or selling in the Truckee – Tahoe area please call me for a casual chat so that I can detail how I can assist you.
Inventory remains open yet finite, with a modest 2.4 months of homes available. This is shaped by the ebb and flow of economic tides and the seasonal cycles that color our calendar. We look to the horizon with optimism, for if the financial forecasts hold true and interest rates descend, I expect an abundant resurgence of inventory as marooned homeowners join the seller pool.
Months of Inventory
The journey from listing to closing has taken a leisurely turn, with homes basking an average of 57 days in the marketplace glow, a modest stretch from the brisk 48 days of December and about even with the year prior.
Average Days on Market
As for the resort market, the various luxury communities were quiet, which is simply a reflection of the overall market's performance. The month of January reported zero homes closing over $5M. Of note, historically its common for sales at all levels to dip in January, since December's holidays distract consumers from engaging in real estate until life returns to a more normal rhythm.
Martis Camp recorded a single transaction in January, with 8725 Breakers Court closing $306K under asking (6%) from its original list price. It's the first cabin to sell since early October.
Lahontan also recorded a single sale with the closing of 8827 Lahontan Drive. Boasting brand new construction within the oldest of the Truckee resort communities, this estate closed tight on price at $4.9M after only a minor $95K price capitulation.
Schaffer's Mill continues to be a hive of activity, with 3 properties changing hands (one estate and two mountain lodges). 9291 Brae Road closed tightly at $3,525,000, only off on asking price by $70K (1.9%) and went into contract in a lightning fast 8 days. Of major interest, both mountain lodges (town homes) languished on the market for a bit and then closed substantially below their original launch prices (9113 Heartwood Drive -$298K and 10244 Modane Place -$150K).
Gray's Crossing had a single transaction with 10989 Ghirard Road closing a staggering $500K below asking from it's original list price. I contribute this to a poor pricing strategy, a hang over from the pandemic market when sellers could throw arbitrary numbers out and get them. This home wracked up 187 days on market and received two price reductions.
Northstar The Village at Northstar recorded 2 transactions, with Iron Horse South 405 closing at $732K and Big Horn 401 at $1.36M. Both condos closed tight, only settling below asking ~2%. Out in the community, 3 homes closed and all were also tight on their numbers (~3% of asking). Of note, 705 Conifer closed $51k over asking at $1.34M. However, it's interesting to note that it started under FMV at $1.29M as a means to elicit multiple offers (they got 3 within 7 days). This strategy is, in my opinion, more in line with hot seller markets, such as the pandemic era market, and likely cost the seller at least $50K.
Incline Village In the prestigious enclave of Incline Village, Nevada, the real estate market has welcomed 2024 with a series of compelling developments, showcasing its resilience and appeal among luxury homebuyers. January's report indicates a sturdy median sales price of $1,598,000, underscoring the area's high-value real estate landscape and a 10.2% increase from November 2023, reflecting a growing buyer confidence. While closed sales experienced a seasonal dip to 11 transactions, this is a common trend for the time of year and does not detract from the overall health of the market. The median days on market stand at 51, revealing a swift turnover that benefits sellers, while buyers are still able to find satisfactory deals, as evidenced by sales closing at 96.9% of list price.
With new listings counted at 22, there's an indication of a fresh influx of inventory poised to meet the discerning tastes of our clientele. The sold price per square foot sits at an impressive $832, confirming the sustained demand for premium living spaces within Incline Village. However, the active inventory level of 101 and a 9.2-month supply illustrate a market that is adjusting to buyer demand, ensuring a balanced environment for both buyers and sellers. As the leading authority in the Incline Village real estate sector, we continue to provide unparalleled insights and guidance, ensuring our clients are well-positioned to capitalize on the dynamic market conditions of this luxurious mountain retreat.
As we look ahead to the rest of 2024, the Truckee - Tahoe real estate market is expected to maintain a strong and stable presence, driven by the region's desirability and high-quality living standards. I anticipate that the market will continue to attract discerning buyers, offering opportunities for both new and seasoned investors. The growth of our community underscores a commitment to refined mountain living and underscores the value of investment in our market.
The market's prospects for 2024 are promising, as we aim to achieve a balance of growth and stability. I remain dedicated to fostering a prosperous environment for real estate transactions and ensuring that my clients find both value and satisfaction in their investments. The coming year holds potential for continued success and client fulfillment in the serene and scenic setting of the Sierra Nevada mountains. As your authoritative guide in the Truckee – Tahoe real estate market, I pledge to navigate you through the currents of buying and selling in this remarkable corner of the world.
Embark on your journey with me—your home is here in the mountains.
