July 7, 2020 | Tahoe City, CA
The Lake Tahoe region’s summer housing market bounced back from shelter in place better than expected with a lack of homes for sale and a rush of buyers driving up home values.
Demand is being driven by those looking for less density. Pandemic uncertainty and a newly realized work-from-home culture has a lot of buyers asking where they want to sequester long term.
Scarcity of inventory is creating a frenzied market defined by multiple offers with bids climbing well above asking price in many cases. In some situations, buyers are making offers based solely on virtual tours for fear of missing out.
On the flip side, sellers are capitalizing on panicky buyers and fetching premium prices from those eager to call the Sierra their primary residence. Data from the last 30 days indicates that the current market is a prime window to sell.
While the first two months of the second quarter were dramatically curtailed, the overall market quickly caught up to the second quarter of 2019 as we moved into Phase Two of reopening. A quick snapshot form the Tahoe Sierra MLS revealed a 52% uptick in home sales in June 2020 as compared to June 2019 (200 homes sold versus 132 this time last year). That stated, the third quarter market insights will reflect a truer picture of region-wide enthusiasm for real estate in terms of list to sell price ratios, days on market and upward pricing trends.
As we head into the third quarter with incredible momentum, a myriad of external forces are still at play. The next chapters of real estate in Lake Tahoe and around the globe is certain to be an interesting read.
For now, the best advice is to contact an established and knowledgeable real estate advisor to navigate this wild and confusing real estate climate.
Detailed Second Quarter 2020 Micro Market Reports breaking down real estate trends by the region’s diverse neighborhoods is available for download here.