As we enter the peak of summer, the Truckee – North Lake Tahoe real estate market is showcasing a vibrant and dynamic shift, particularly within the luxury real estate communities. July has proven to be a pivotal month, signaling a robust early summer surge that has both buyers and sellers eager to capitalize on the market’s momentum.

Market Overview

July 2024 concluded with a significant uptick in sales, reporting 126 closed transactions. This represents a staggering 73% increase from the previous month, underscoring the heightened activity that typically characterizes the prime summer months. However, what’s particularly noteworthy is the substantial 42% increase in sales compared to July 2023, when only 89 homes exchanged hands. This early surge, occurring a full month ahead of the usual peak season, indicates a strong buyer appetite driven by both lifestyle changes and the allure of the Truckee – North Lake Tahoe area’s real estate offerings.

Month-over-Month Total Sales Transactions

Price Trends

Despite the increase in sales volume, the median sold price for July remained relatively stable, experiencing only a slight 0.5% dip to $1,155,000. This minor fluctuation is a testament to the area’s resilience and appeal, as properties continue to hold their value amidst a competitive market. Interestingly, while this figure represents a 12% decrease from the year prior’s median of $1,020,000, it reflects the nuanced dynamics of a market where value is increasingly determined by unique property features, location, and buyer priorities.

Month-over-Month Total Sales Transactions

Sales and Inventory Dynamics

Homes in the Truckee – North Lake Tahoe area traded, on average, 3.3% below their asking prices in July. This slight negotiation margin signals a balanced market, where sellers remain confident but willing to adjust to meet the expectations of discerning buyers. Meanwhile, inventory levels experienced a modest 2.7% decrease from the previous month, as supply worked to keep pace with the burgeoning demand. When compared to the same period last year, inventory is up by 11%, highlighting the gradual replenishment of available homes in response to the summer surge.

Months of Inventory

Market Pace

The median days on market (DOM) edged up slightly, from 11 to 14 days, aligning closely with the previous month’s trends. Although this is an increase from the 8 DOM recorded in July 2023, it remains indicative of a swift-moving market where well-priced properties are quickly finding new owners.

Median Days on Market

Luxury Segment

The luxury real estate segment had an exceptional month in July, with homes over $2M selling at twice the rate as the month prior. All major luxury communities, with the exception of Mountainside, recorded transactions. Of note, the first 8 figure property to close since September 2023 occurred last month, when the lakefront 656 Olympic Drive closed at $11.85M (all cash and only $50K under asking). Here’s a price point break down of sales in July:

  • 52 sales <$1M
  • 74 sales >$1m
  • 21 sales >$2m
  • 2 sales >$5M
  • 1 Sales >$10M

Martis Camp ended the month with a single transaction, with the closing of 8118 Fallen Leaf Way at $7.7M (down from it’s original launch price of $7,795,000).

Lahontan also only turned in a single sale, with 584 Stewart McKay closing at $4.3M, down a staggering $575K from it’s original launch price of $4,875,000.

Schaffer’s Mill saw a flurry of activity, with 3 homes changing hands in the community. Of note, 9309 Heartwood Drive closed $475K below it’s original launch price, down to $3,325,000.

Gray’s Crossing had 3 sales in July, with 2 homes closing at asking and 11100 Ghirard Road closing $30K over asking.

Old Greenwood recorded a singe transaction, with 12789 Caleb Drive closing $15K under asking to $3,375,000. My observations has been that brand new, mountain contemporary homes are going relatively quickly in the community and for solid prices.

Northstar Village had a surprising turnout in July, with 3 condos closing. Of note, Iron Horse South 106 became the second highest selling, 2 bed unit, in the Iron Horse buildings when it closed all cash $5K over asking at $1.3M.

Out in the Northstar community there was some considerable action, with 3 homes transacting. 742 Conifer sold lightning fast, only spending 3 days on market and selling for all cash at $2.45M.

Incline Village Market

The July 2024 real estate market in Incline Village, Nevada, reveals intriguing trends that reflect the dynamic nature of this exclusive enclave. The median sales price in July stood at $1,752,500, showing a modest 4.6% increase year-over-year but a significant 23.4% decrease from the previous month. This fluctuation suggests that while the overall value of homes remains strong, there may be short-term market adjustments as buyers navigate the competitive landscape. Notably, the number of closed sales surged by 75% compared to June, with 28 transactions, marking a substantial 21.7% increase from July 2023. This rise in sales activity highlights the ongoing demand for premium properties in Incline Village, even as the market experiences seasonal shifts.

The market’s inventory dynamics also present an interesting picture. While new listings dropped by 25% from the previous month, active inventory increased by 13.1%, bringing the total to 207 homes. This slight increase in inventory, coupled with a 35.3% decrease in the months’ supply of inventory to 7.4 months, indicates a more balanced market where buyers have more choices, but competition remains stiff. Homes are spending more time on the market, with a median of 47 days, up 20.3% from June. However, sellers are still seeing strong returns, with the list price received averaging 96.5%. These statistics underscore the importance of strategic pricing and marketing in this ever-evolving market.

Looking Ahead

As we move further into the summer, the Truckee – North Lake Tahoe real estate market is poised for continued success. The early surge in buyer activity, coupled with stable pricing and a slight inventory increase, suggests a market that is both healthy and ripe with opportunities. For sellers, this is an ideal time to list properties, particularly those in the luxury segment, as buyers are clearly motivated and eager to invest in the region’s lifestyle and amenities.

For buyers, the market offers a unique blend of selection and value, with the promise of securing a piece of paradise in one of the most sought-after Truckee – Tahoe area. As the season progresses, we anticipate continued enthusiasm, buoyed by the region’s natural beauty, recreational opportunities, and the allure of owning a mountain home in a community that is both exclusive and welcoming.

In conclusion, July 2024 has set the stage for what promises to be an exceptional summer season in the Truckee – North Lake Tahoe real estate market. Whether you’re considering buying or selling, now is the time to act with confidence and seize the opportunities that this market has to offer. Here’s to closing out the summer with success, adventure, and the joy of finding your dream home in Tahoe.