As we step deeper into 2025, the Truckee – North Lake Tahoe real estate market continues to demonstrate resilience despite seasonal fluctuations. February brought a mix of predictable winter slowdowns and encouraging year-over-year growth, reinforcing the region’s appeal to buyers and sellers alike. While we saw a slight dip in monthly sales, long-term trends indicate a robust market fueled by strong demand and historically low inventory levels.

Sales Activity

February concluded with 59 sales, marking an 8% decline from January. However, the market remains on a strong trajectory, with sales jumping 16% compared to February 2024, when only 51 homes changed hands. This underscores the increasing confidence among buyers despite economic uncertainties.

Month-over-Month Total Sales Transactions

Home Prices

The median sold price for February settled at $1,350,000—a modest 1.5% dip from the previous month, but a staggering 20% surge from last year. With inventory still tight, pent-up demand continues to drive values upward. Some buyers, unwilling to wait for a market correction that may never materialize, are opting to purchase now to enjoy their mountain retreat immediately rather than gambling on future price drops.

Month-over-Month Sold to List Prices

Negotiation Power

On average, homes traded 3.25% below their asking price in February, highlighting that winter remains a favorable time for buyers. With less competition in the marketplace, those who act now can often secure better deals before spring activity heats up.

Inventory Trends

Inventory levels edged up slightly, increasing 2.6% to 2.74 months’ supply. This could be an early indicator of sellers preparing to list ahead of the spring rush. As we transition into the latter part of winter, this number is expected to decline temporarily before rebounding in spring. Sellers considering listing should take advantage of the current environment before competition intensifies.

Months of Inventory

Market Velocity

Homes spent a median of 50 days on the market, virtually unchanged from January but significantly faster than last year’s 60-day median. This 20% year-over-year decrease signals that demand remains strong, even in the traditionally quieter winter months.

Median Days on Market

Truckee Luxury Segment

February’s luxury real estate market in Truckee delivered a fascinating blend of high-end sales activity, competitive pricing, and strategic buyer movements. While winter typically brings a slower pace, this month’s data reveals continued strength in key communities, with some record-setting price-per-square-foot figures and fast-moving sales in ultra-luxury enclaves. From the soaring demand in Martis Camp to the steady appeal of Lahontan and Northstar’s slopeside offerings, each neighborhood tells a unique story about buyer preferences and investment confidence. As we dive into the details, it’s clear that while winter may still blanket the region, the luxury market remains anything but frozen. To start, here’s a price point breakdown of sales for the month of February:

  • 23 sales <$1M
  • 36 sales >$1m
  • 19 sales >$2m
  • 2 sales >$5M
  • 0 Sales >$10M

Grays Crossing: February saw two sales in Grays Crossing, with an average sale price of $2,587,500. Homes here averaged 137 days on the market, reflecting a more patient approach from sellers. The price per square foot averaged $947, suggesting strong value retention in this sought-after golf community.

Lahontan: With two sales averaging $3,631,250, Lahontan remains a premier choice for luxury buyers. Homes here moved faster, averaging just 77 days on the market, showcasing the appeal of this gated golf community. The highest sale reached $3,675,000, highlighting continued demand for high-end properties.

Martis Camp: The standout of the month, Martis Camp, saw one off market sale at $6.9 million with the closing of 8370 Valhalla Drive. These rare 2 bed cabin offerings on larger parcels of land continue to draw attention from Buyers looking to be in the community while building their larger estate next door.

Northstar Homes: Northstar saw two sales with an average price of $1,372,500, making it a more accessible yet still prestigious option. Homes here averaged 56.5 days on market, reflecting a steady pace of transactions. The price per square foot remained relatively lower at $651, offering value for the convenience of being within a ski-centric community.

Northstar Mountainside: Mountainside had a monstrous February with five sales; this enclave also led the luxury communities in transaction volume. The median sale price of $3.2 million underscores buyer interest, though the highest sale topped out at $7.5 million, when a rare M25 home traded hands (19145 Glades Place). At an average of $1,146 per square foot, Northstar Mountainside continues to attract discerning ski enthusiasts looking for premier slope side living.

Northstar Village: With two 1 bedroom unit sales in February (one in the vintage Timber Creek Lodge), these Northstar Village properties averaged a sale price of $669,000, making it a more attainable luxury entry point. The average price per square foot came in at $847, reflecting strong demand for convenience-driven, slope side residences. Homes in this area spent an average of 58.5 days on the market, suggesting steady buyer interest in turnkey properties situated in the heart of the Village.

Schaffer’s Mill: February saw two sales in Schaffer’s Mill, with an impressive average sale price of $4,535,000. When 9030 Versant Court closed it made it the 3rd highest sale ever in Schaffer’s Mill (per MLS records), underscoring the growing demand for luxury properties in this golf and club community. Homes in Schaffer’s Mill spent an average of 113 days on the market, reflecting a measured pace of transactions. With an average price per square foot of $1,075, this neighborhood continues to attract buyers seeking a blend of high-end mountain living and resort-style amenities.

Incline Village / Crystal Bay Market Update

The Incline Village real estate market surged forward in February 2025, showcasing strong demand and price appreciation despite fluctuating inventory levels. The median sales price climbed to $1,550,000, marking a 36.6% increase from January, reinforcing Incline Village’s position as a premier luxury market. Closed sales jumped by 71.4%, signaling heightened buyer activity as affluent investors capitalize on available inventory. Homes spent a median of 86 days on market, a 31.5% increase, which indicates a balancing act between seller expectations and buyer willingness. The list price received slightly dipped by 1.7% to 93.9%, suggesting that while demand remains high, negotiation opportunities exist for buyers looking to secure a deal.

Market fundamentals reflect a shifting landscape as new listings declined by 31% to just 20 properties, further tightening supply. However, active inventory grew 3.1% to 99 listings, potentially giving buyers more options heading into spring. The median sold price per square foot rose 19.1% to $767, reaffirming the area’s high-value proposition. The most telling shift is the 39.8% drop in months’ supply of inventory to 8.2 months, indicating that the market is absorbing homes at a faster pace. For sellers, this remains a prime moment to list, leveraging elevated home values and increasing buyer interest. Buyers, on the other hand, should act decisively, as continued price appreciation and constrained inventory could lead to a more competitive landscape in the coming months.

Looking Ahead

With one month of 2025 behind us, the real estate landscape in Truckee – North Lake Tahoe is shaping up to be another exciting year. While winter continues to offer opportunities for buyers, the thaw of spring will bring renewed inventory and heightened competition. Those looking to make a move—whether buying or selling—should be strategizing now to stay ahead of market shifts.

As the days grow longer and the mountains prepare for their seasonal transformation, the real estate market, much like the landscape, is poised for renewal. Whether you’re looking for your dream mountain home or considering listing your property, there’s never been a better time to engage with an expert who understands the nuances of this dynamic market. Pleave give me a call and let’s make 2025 your best real estate year yet.