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3rd Quarter 2018, Newsletter

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Curious How The North Lake Tahoe Real Estate Market Is Doing?

INCLINE VILLAGE & CRYSTAL BAY

3 Q TAHOE REPORT 2018

MARKET TRENDS BY NEIGHBORHOOD & PROPERTY TYPE

For the full report visit: TahoeReports.com


3RD QUARTER COMPARISON

2017 VS 2018

C

Total Sales Volume

Number of Sales

Avg. Days on Market

Median Sales Price

Single Family Homes

+19%

+15%

-9%

+29%

Planned Unit Developments

+30%

+15%

+8%

+5%

Condominiums

+11%

-1%

-16%

+16%

Lots and Land

- 84%

-56%

+65%

-63%

Incline Village & Crystal Bay Overall Market

+15%

+7%

-7%

+17%

losing out the third quarter, strong sales continue in Incline Village and Crystal Bay as we push into the fall and winter months. The luxury market ($2M+) has defined this quarter as sales in this category increased by over 25% despite historically low inventory. Contrary to our neighbor to the West where luxury sales have slowed, the number of home sales in our market has increased, suggesting buyers are likely looking outside of California when searching for a luxury home. This trend is driving up sales volumes in our area which have reached over $437 million so far this year. Compare that to 10 years ago and we see a whopping 240% increase in total sales volume!

We have been in a strong seller’s market for some time now and the third quarter has further bolstered home values. Tight inventory paired with the constant influx of buyers from California and other tax burdened areas has driven competition among buyers over any remaining properties. Looking forward, our next quarter is traditionally slower than the previous months as families head home after vacations and tourism traffic dies down. However, the pressure on tax burdened homeowners in our feeder markets won’t decrease any time soon which may encourage a busier than normal 4th quarter.

Stop By 954 Lakeshore Blvd. Incline Village, NV 89451 (1/2 Block from the Hyatt & across from Incline Beach)


So far the 3rd Quarter, 2018 has continued to experience record low inventory levels which sent home values skyrocketing, resulting in a staggering 35% increase in the median sales price from $1,107,500 in the 3rd Quarter 2017 to the current $1,499,000. The group that benefits most from this upward trend are retirees who are looking to sell their home and So Not far the 3rdshould Quarter, their 2018 has continued to experience lowthey inventory which downsize. only home sell quickly but therecord equity havelevels gained in this strong sent home resulting a staggering 35%had increase in the median sales market gives themvalues moreskyrocketing, buying power thaninthey have ever before.

Learning From Our Past MARKET INSIGHTS

price from $1,107,500 in the 3rd Quarter 2017 to the current $1,499,000. The group that benefits most from this upward trend are retirees who are looking to sell their home and

PUD's have experienced tremendous growth due but in large to the shortage in housing supply. downsize. Not only should their home sell quickly the equity they have gained in this strong The totalmarket sales gives volume bypower 30%than withthey only a few themincreased more buying have ever additionally had before. sales compared to 3rd quarter 2017. The growing median sales price can beof attributed to the Incline hen informing our clients the current stateCreek of Estate the If we PUD's have experienced growth due insales large in to the shortage housing supply. sales which were some of thetremendous highest priced PUD 2018 sellingin for $1,663,450, just The total sales volume increased by 30% with only a few additionally sales compared to 3rd above the median sales price ofmedian a single home. Another ofwhether note is the skinot market, the question naturally arises ofIncline or were quarter 2017. The growing salesfamily price can be attributed toarea the Creek Estate neighborhoods Tyrolia Village, which 18 sales.

sales which were and someTyrolian of the highest priced PUDhad salesaintotal 2018of selling for $1,663,450, just

W

$1,500,000

$750,000 $375,000

$375,000

$0

2014

2015

2016

$1,107,500

$750,000

$1,055,000

$1,125,000

$915,000

$1,075,000

$1,125,000

2017

$1,424,400

look back, the meteoric rise in home prices and sales due to dangerously loose lending standards and the we are experiencing another housing bubble. In most respects, general belief that home values could not and would not above the median sales price of a single family home. Another area of note is the ski neighborhoods and decreased Tyrolian Village, which had a total of 18 sales.

Lots & land total salesTyrolia volume 83% however there are over $15 million in pending home values inhighest our area increased beyond pre-recession sales including one of the pricedhave lakefront lots in Crystal Bay listed at $11.5 million. rapidly decrease. There was no lack of inventory due to Lots & land total sales volume decreased 83% however there are over $15 million in pending With this in consideration, the total sales volume would be elevated to match the current sales including one of the highest priced lakefront lots Crystal Bay listed at $11.5 million. levels and overall sales volume is inhigher than we have ever massive amounts of new construction nationwide and the market trends we throughout. Further of elevated the numbers is the evidence With this in see consideration, the total sales examination volume would be to match current of a growing market trends we see throughout. Further examination of the numbers is evidence of a growing luxury market amongst lots and land where we are seeing some of the rarest lakefront lots, economy wasn’t necessarily “booming”. Today, the basic seen before, prompting fears we ofareanother market crash. Despite market amongst lots Lakeshore and land where seeing some listed forluxury the first time, like 891 for $18.9 million.

of the rarest lakefront lots, listed for the first time, like 891 Lakeshore for $18.9 million. rapidly increasing home prices, there are two major factors that tenements of a healthy and growing real estate market are separate the current market from the previous crash; lack of in place with low inventory paired with high demand. This 
 
 inventory and stricter lending standards. demand is backed up by a strong economy, tighter lending standards and incremental increases in interest rates to 3rd Quarter Single Family Homes Median Sales Price 3rd Quarter Single Family Homes Median Sales Price combat inflation. $1,500,000

2018

* Data from IVR retrieved Jan-Sep. 2018 is deemed reliable and accurate but is not guaranteed.

Call Today 775.831.7000 $0

2014

2015

2016

That being said, it is always wise to use caution when evaluating either a purchase or sale in this type of market. Although Incline Village and Crystal Bay will generally follow nationwide trends, our market has several unique factors that make it difficult to make general statements about the current or future value our homes. That is why it is so valuable to work with a local, experienced Realtor to guide you through your transaction and give you the most accurate and personal advice possible. Contact us today and let our insight work for you!

Toll Free 800.954.9554 2017

2018

Download App.LakeshoreRealty.com


Jan-Mar

1

2016 2017 2018

Single Family Home

2015 April-June

2 2

3 3 3

SALES TRENDS

2016 2017

1

2018

So far the 3rd Quarter 2018 has continued to experience low inventory levels 0 which has2015 sent home values skyrocketing. So much so, the lowest asking price for 2016 1 a July-Sep home is2017 currently $650,000. The median sales price for a single family home is 4 at a record2018 breaking high of $1,424,400 which is a staggering 29% increase from 1 3rd Quarter 2017! Additionally, the luxury lakefront market continues4to flourish 0 0.8 1.6 2.4 3.2 with Lakeshore Realty’s pending sale of 55 Shoreline Circle, listed at $14,500,000, contributing to one 2015 of the strongest we have 2016 sellers markets 2017 2018ever seen.

Total Sales Volume $297,606,470

177

145

$1,424,400

$250,915,422

194

126

$1,107,500

18.61%

-8.76%

15.08%

28.61%

Total Sales Volume

Average DOM

Number of PUDs Sold

Median Sales Price

3Q, 2018

$44,578,632

192

46

$905,000

3Q, 2017

$34,306,400

178

40

$862,500

29.94%

7.87%

15.00%

Sales $1,000,000 -Total $1,200,000 Volume

Average =5 DOM

Number of =1 Condos Sold

$1,200,000 -$89,027,786 $1,400,000

111

% change

Price Range

$600,000 - $800,000

Jan-Mar

$800,000 - $1,000,000

22

2016

25

2017 2018

31 36 36

2015 April-June

2016 2017 2018

3Q, 2017 $1,400,000 -$80,094,300 $1,800,000

43

2015 July-Sep

3Q, 2018

2016 2017 2018 0

14 2015

28 2016

% change

42 2017

11.15%

$1,800,000 - $2,000,000

42 41 44

$2,000,000 - $2,500,000

56 2018

= 13 = 10

160=

12

-30.63%

=7 = 12

=6 =1 =4

=5

= 18

4.93%

= 16

Median = 19 Sales Price

= 13

143

$540,000

145 =3

$465,000 = 25

-1.38%

=0 =2

16.13% = 9

= 14

Median Sales Price

3Q, 2018

$886,000

533

4

$230,000

3Q, 2017

$5,423,000

324

9

$625,000

64.51%

-55.56%

-63.20%

$4,000,000 - $5,000,000 -84%

70

= 11

=0

Sold

Number of Lots Sold

% change

65

=0

Pending

Average DOM

$3,000,000 - $4,000,000

60

Active

Total Sales Volume

$2,500,000 - $3,000,000 52

Median Sales Price

3Q, 2017

% change

2015

Number of Homes Sold

3Q, 2018

$0 - $600,000

3RD QUARTER SALES COMPARISON

Average DOM

=6 = 11 =6

=1 =3 =1

=8

= 10 =4

$5,000,000 - $8,000,000

=9

=1

=2

$8,000,000 +

= 11

=1=

=2

TOTAL

= 113

= 24

= 145

* Data from IVR retrieved Jan-Sep. 2018 is deemed reliable and accurate but is not guaranteed.

Stop by our oďŹƒce 954 Lakeshore Blvd., across from Incline Beach and 1/2 Block from Hyatt Regency Lake Tahoe


Jan-Mar Jan-Mar

26

2015 2016 2016 2017 2017 2018 2018

33 33

38 38 38 38

Planned Unit Development

April-June April-June

2015 2015 2016 2016 2017 2017 2018 2018

SALES TRENDS

56 56

50 50 50 46 50 due46in large

3RD QUARTER SALES COMPARISON Jan-Mar Jan-Mar

April-June April-June

July-Sep July-Sep

7 7

3Q, 2018

$297,606,470

177

145

$1,424,400

3Q, 2017

$250,915,422

194

126

$1,107,500

18.61%

-8.76%

15.08%

28.61%

Total Sales Volume

Average DOM

Number of PUDs Sold

Median Sales Price

3Q, 2018

$44,578,632

192

46

$905,000

3Q, 2017

$34,306,400

178

40

$862,500

29.94%

7.87%

15.00%

4.93%

Total Sales Volume

Average DOM

Number of

Median Sales Price

3Q, 2018

$89,027,786

111

143

$540,000

3Q, 2017

$80,094,300

160

145

$465,000

-30.63%

-1.38%

% change

Price Range

$0 - $600,000

$600,000 - $800,000 11.15%

4.4 4.4

8.8 8.8 2016 2016

13.2 13.2 2017 2017

17.6 17.6

22 22

=9

$230,000

9=

0

$625,000 =6

=0

-55.56%

=0

-63.20%

$2,000,000 +

=2

=0

=0

TOTAL

= 15

= 13

= 46

-84%

$1,800,000 - $2,000,000

18 18

=2

= 10 16.13%

4

% change

2018

=1

=2

=7

4=

3Q, 2017 $1,400,000 -$5,423,000 $1,800,000

21 21 22 22

=3

=2

Sold

Median = 9 Sales Price

$1,200,000 - $886,000 $1,400,000

15 15

=2

Sales Average -Total $1,200,000 =0 Volume DOM

3Q, 2018

11 10 11 10

Sold Active Condos Pending

Number of =3 Lots Sold

$1,000,000

13 13

18 18

2015 2015

Median Sales Price

$800,000 - $1,000,000

9 8 9 8

2015 2015 2016 2016 2017 2017 2018 0 0

Number of Homes Sold

% change

8 8

2015 2015 2016 2016 2017 2017 2018 2018

Average DOM

% change

PUD's have experienced tremendous growth part to the shortage in housing 2015 supply. The total sales volume increased by 30% 58 with only a few 2015 58 2016 additional sales compared to 3rd quarter 2017. The growing66 median sales July-Sep 2016 66 57 July-Sep 2017 price can be2018 attributed to the Incline Creek Estate sales which were some of the 5759 2017 2018 59 highest priced PUD's in 2018 selling for $1,663,450, just above the median sales 0 14 28 42 56 70 price of a single0 family home. Another note is the56ski neighborhoods 14 28 area of 42 70 2015 2016 2017 2018 Tyrolia and Tyrolian Village, which had a total of 18 sales in 2018. 2015 2016 2017 2018

2015 2015 2016 2016 2017 2017 2018 2018

Total Sales Volume

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=2

533

324=

5

64.51%

=5 =0

EVERYTHING YOU NEED TO KNOW AT THE TIP OF YOUR FINGERS

2018 2018

* Data from IVR retrieved Jan-Sep. 2018 is deemed reliable and accurate but is not guaranteed.

Stop by our oďŹƒce 954 Lakeshore Blvd., across from Incline Beach and 1/2 Block from Hyatt Regency Lake Tahoe


Condominium

SALES TRENDS

Total Sales Volume

Average DOM

Number of PUDs Sold

Median Sales Price

3Q, 2018

$44,578,632

192

46

$905,000

3Q, 2017

$34,306,400

178

40

$862,500

29.94%

7.87%

15.00%

4.93%

Total Sales Volume

Average DOM

Number of Condos Sold

Median Sales Price

3Q, 2018

$89,027,786

111

143

$540,000

3Q, 2017

$80,094,300

160

145

$465,000

11.15%

-30.63%

-1.38%

16.13%

% change

The limited number of condos for sale and the large number of buyers continues to push prices upward. The median sales price of a condo is at an all time of high of $540,000 which is a 17% increase from 3rd Quarter 2017. The luxury condo market at $800,000 and above has started to slow as the most popular price range was $600,000 or below. The 12% increase in total sales volume from $80,094,300 in 3rd quarter 2017 to $89,027,786 is further proof that the condominium market is continuing to flourish! 3RD QUARTER SALES COMPARISON

% change

Price Range

Total Sales Volume

3Q, $02018 - $400,000$886,000

533=

3Q, 2017

$5,423,000

324

9

$625,000

-84%

64.51%

-55.56%

-63.20%

$400,000 - $500,000

% change

26

2015 Jan-Mar

2016 2017

38 38

2015 2016 2017

46

2018

58

2015 July-Sep

50 50

56

2016

57 59

2017 2018 0

14 2015

28 2016

42 2017

56

66

8

=5

$500,000 - $600,000

33

2018

April-June

Average Number of Median DOM Sold Sales Price Active Lots Pending Sold

=6

4=

3

=9 =8

$230,000

= 35 = 24 = 39

$600,000 - $800,000

=8

=8

= 22

$800,000 - $1,000,000

=4

=0

= 10

$1,000,000 - $1,500,000

=3

=1

=6

$1,500,000 - $2,000,000

=5

=0

=3

$2,000,000 +

=4

=0

=4

TOTAL

= 43

= 29

= 143

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2018

* Data from IVR retrieved Jan-Sep. 2018 is deemed reliable and accurate but is not guaranteed.

KEEP TRACK OF THE REAL ESTATE MARKET

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Lots & Land

SALES TRENDS

3RD QUARTER SALES COMPARISON 1 11 1

2015 2015 2016

Jan-Mar 2016 2017 Jan-Mar 2017 2018 2018

2 22 2 3 33 33 3

2015 2015 2016

April-June 2016 2017 April-June 2017 2018 2018 2015 2015 2016 July-Sep 2016 2017 July-Sep 2017 2018 2018

1 1 0 0

1 1 1 1

0 0

0.8 0.8 2015 2015

4 4 1.6 1.6 2016 2016

2.4 2.4 2017 2017

Average DOM

Number of Condos Sold

3Q, 2018

$89,027,786

111

143

$540,000

3Q, 2017

$80,094,300

160

145

$465,000

11.15%

-30.63%

-1.38%

16.13%

Total Sales Volume

Average DOM

Number of Lots Sold

Median Sales Price

3Q, 2018

$886,000

533

4

$230,000

3Q, 2017

$5,423,000

324

9

$625,000

-84%

64.51%

-55.56%

-63.20%

% change

Lots & land total sales volume decreased 84% however there are over $15 million in pending sales including Lakeshore Realty’s 470 Gonowabie listed at $11.5 million. With this in consideration, the total sales volume would be elevated to match the current market trends we see throughout. Further examination of the numbers reveals evidence of a growing luxury market amongst lots and land where we are seeing some of the rarest lakefront lots,

listed for the first time, like 891 Lakeshore for $18.9 million.

Total Sales Volume

3.2 3.2 2018 2018

4 4

* Data from IVR retrieved Jan-Sep. 2018 is deemed reliable and accurate but is not guaranteed.

% change

Price Range

Active

Median Sales Price

Pending

Sold

$0 - $300,000

=6

=0

=4

$300,000 - $600,000

=2

=0

=0

$600,000 - $800,000

=0

=0

=0

$800,000 - $1,000,000

=1

=0

=0

$1,000,000 - $1,500,000

=1

=0

=0

$1,500,000 - $2,000,000

=1

=0

=0

$2,000,000 - $3,000,000

=0

=0

=0

$3,000,000 - $4,000,000

=1

=0

=0

$4,000,000 - $5,000,000

=0

=1

=0

$5,000,000 +

=1

=1

=0

TOTAL

= 13

=2

=2

LAKESHORE REALTY'S TOTAL SALES VOLUME 3RD QUARTER 2018 $158,489,182 and counting...

Stop by our oďŹƒce 954 Lakeshore Blvd., across from Incline Beach and 1/2 Block from Hyatt Regency Lake Tahoe


As the preferred real estate company on the Northernmost shores of Lake Tahoe for nearly 25 years, Lakeshore Realty — locally owned and independent — has grown with our small team of agents to serve home buyers and sellers throughout the region. Topping over $158 million in sales this year, a benchmark rarely achieved, even amongst our franchise competitors. Backed by proven professionals who specialize in our niche market, no other company can provide you with the vast local knowledge, comprehensive support and services or the indisputable value you experience when working with a Lakeshore Realty agent.

954 Lakeshore Blvd. Incline Village, NV 89451 775.831.7000 - 800.954.9554 Office@LakeshoreRealty.com www.LakeshoreRealty.com App.LakeshoreRealty.com


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