In the highly sought-after Truckee – Tahoe region, this past year has been one of savvy adaptation within a market that’s as lively as it is beautiful. The 2023 market ebbed and flowed, with periods of stagnation, shaped by lingering pandemic influences and the changing desires of prospective buyers and sellers alike. As a leading real estate authority in the area, I’ve deftly steered through these changes, always keeping my clients on the forefront of timely market information.
The year concluded with a definitive trend of recalibration, evidenced by 989 property sales, a 10.5% decline from the previous year, marking the lowest number since the pivotal year of 2010. Despite this contraction, the figures reflect a strategic realignment with the vigorous market activity witnessed during the pandemic’s zenith.
Year-over-Year Total Sales
A nominal softening in the median sold price to $1,080,000, a 1.8% decrease from 2022, suggests a market that remains in equilibrium, with values consistent with the heightened pandemic pricing. The total sales volume echoed this sentiment, registering at $1,547,893,615, a 15.3% decrease from the previous year, yet indicative of a market that is active and rich in premium assets.
Year-over-Year Median Sales Prices
Year-over-Year Total Sales Volume
The increase in days on market to an average of 45 days, up 28.5% from the prior year, signals a more reflective buying pattern and an opportunity for sellers to highlight the distinct qualities and enduring allure of their mountain properties.
Year-over-Year Average Days on Market
A critical factor in the 2023 market was the notable low inventory levels, precipitated largely by homeowners’ reluctance to sell. Many homeowners continue to benefit from 3% interest rates secured during the pandemic era, creating a disincentive to relinquish these advantageous terms. Concurrently, the escalation of interest rates has introduced a degree of hesitancy among homeowners considering trading up and for new buyers contemplating market entry. This reticence has naturally led to a more circumspect market rhythm.
2023 Truckee Luxury Communities Market Report
Martis Camp, a paragon of luxury and exclusivity, ended 2023 with 29 transactions, on par with the previous year, underscoring its resilience and desirability. The median sales price saw a retraction to $7,350,000, a 9.7% decrease, reflective of a broader market stabilization. Notably, the community witnessed 5 eight-figure deals, although fewer than 2022’s 12. Properties such as 8428 Valhalla Drive, which closed at $12,295,000, affirm the community’s high-value appeal despite an average market time increase to 91 days.
Lahontan experienced a quiet close to 2023, with no sales in December and only 13 for the year, the fewest since 2014. However, the median sales price appreciated by 5% to $3,900,000, and days on market climbed to 102. The sale of 13150 Snowshoe Thompson Circle at $6.05M, notably under asking, illustrates the demand for new, contemporary mountain construction in Truckee’s venerable resort community.
Schaffer’s Mill maintained a steady pace with 19 transactions in 2023, mirroring the previous year. The community’s median sales price reached a new high of $2.62M, up 13%, with the price per square foot peaking at $939/sqft. The community also recorded a notable sale at 9305 Nine Bark Road, which fetched the full asking price of $4.5M and all cash, indicative of the enduring high-end demand.
Gray’s Crossing saw a rise in activity, with 24 transactions in 2023. The median sales price remained stable at $2,645,000, while days on market increased significantly from 18 to 71. The introduction of the Village at Gray’s Crossing townhomes marked a new chapter for the community, signaling a vibrant future. Of major note, the highest sale price ever in Gray’s occurred in 2023, with the off-market sale of 11611 Ghirard Road for $3.7M.
In Old Greenwood, sales dipped slightly to 8 closings in 2023. The median sales price stayed level with the previous year at $1,524,500, aligning with pre-pandemic values. Days on market rose to 67, a trend reflective of the broader market’s increased contemplation period. The second largest transaction ever recored in the community also occurred in 2023, with 12820 Caleb Drive closing at $3.1M.
Northstar Village enjoyed a 19% increase in condo sales, with a median price rising to $1.45M. The sold price per square foot echoed the inaugural launch years, while the Village celebrated its highest condo sale ever with Great Bear 501 closing at $3.55M.
Transactions in Northstar Homes decreased slightly, with median prices falling 10% to $1.62M, largely due to fewer sales in the upscale Big Springs neighborhood. Yet, the community witnessed its highest home sale ever, with 2221 Silver Fox Court closing at $5.75M.
Mountainside doubled its transactions from the previous year, a bullish sign, even as the median sales price eased by 5% to $3,087,500. The community achieved a record price per square foot of $1,477, buoyed by multiple high-value Ritz Carlton sales.
Conclusion and Outlook for 2024
The 2023 market story is one of resilience and strategic realignment. The Truckee – Tahoe region remains a beacon of luxury living, attracting a discerning and sophisticated demographic. Looking forward to 2024, I’m very optimistic. With interest rates flirting with a gradual decline, a Fed signaling potential rate cuts, and an election year where the incumbent President should be doing everything possible to improve the housing market (if they want to win votes and stay in office), then the economic stars may align to release the bottleneck that has stymied the market from introducing copious amounts of inventory. With a renewed buoyancy anticipated in buyer sentiment and the undiminished charm of our mountainous enclaves, I forecast a reinvigorated market. My commitment to market leadership and service excellence is unwavering, as I continue to innovate and adapt to the evolving desires of my esteemed clientele.
Thank you to all my clients that have allowed me to work for them over the years, it has been an absolute honor.
If you’re looking to buy or sell in the Truckee – Tahoe area, please give me a call. I would be honored to work for you.