The dawn of 2020 finds the Tahoe – Truckee real estate market in good condition. There were 1609 recorded sales which totaled 28 fewer residential transactions than last year. Median price was spot-on even and average price down about 11% from 2018.
Year Sales Units Average Price Median
2019 1609 $930,760 $640,000
2018 1637 $1,042,553 $640,000
2017 1768 $855,595 $595,000
2016 1634 $833,424 $547,750
Properties priced between $500K-1M recorded the highest share of closings, with around 46% of all deals. In total, 21% of sales were priced at one million or more. And the entry market and condos under $500k represented the remainder of the market share.
On the high end, notable within (Martis Camp and lakefronts) median price increased while dollar volume fell meaningfully. This would indicate a supply problem more than diminishing demand. Further evidence can be found in a slightly reduced average price for lakefronts, while the median price improved. This could be attributable to the lack of mega-sales > $10m which fell from 7 to 4.
I’m observing a tighter market in the lower price thresholds. Unless there’s a change in economic conditions in some material way, it’s hard to make an argument that things are going to change all that much in 2020. Although some real estate experts predicted prices will cool off further in 2020. I really don’t see that happening. Maybe, some stabilization within different price segments. But with low interest rates, a robust economy, and low inventory, there seems to be plenty of prospective buyers out in the market.
So, in summary, it was a good year by any historical standard and, the number of sales were only slightly behind the last couple of years which is generally attributed to a lack of quality inventory. We look forward to more snow and hope we can continue to provide insight to what we are experiencing.