2022 Tahoe Mountain Report | YTD Edition (6MO)

TAHOE MOUNTAIN REPORT TRUCKEE/TAHOE MARKET OVERVIEW

OFFICE LOCATIONS

NORTHSTAR 3001 Northstar Dr Truckee, CA 96161

OLD GREENWOOD 12915 Fairway Drive Truckee, CA 96161

GRAY’S CROSSING 11406 Henness Road Truckee, CA 96161

DOWNTOWN TRUCKEE 10396 Donner Pass Rd Truckee, CA 96161

530.550.2000 | info@tahoemountainrealty.com | tahoemountainrealty.com | BRE 01995145 | PO Box 3757, Truckee, CA 96160

T R U C K E E / T A HOE TRANSACTION VOLUME COMPARISON 2000

2322 1848

1800 1600

1634

1400 1352

1200

1620 1578

1488 1377

1412

1252 1079

1000 800

1428

1746

889 647

600 400 0 2008 2009

2010

2011

2012

2013

2014

2015

2016

2017

2018

2019

2020

2021

2022*

AVERAGE SALES PRICE $4,000,000 $3,000,000

$1,732,858

$2,000,000

$1,047,342

$1,489,861 $1,133,663

$1,000,000 $900,000 $800,000

$821,430

$771,862

$759,693

$700,000

$562,538

$600,000 $500,000

$855,102

$592,523

$907,330

$832,540

$690,253 $513,177

$598,986

$400,000 $300,000

2008 2009

2010

2011

2012

2013

2014

2015

2016

2017

2018

www . T A HO EMO UNT A INR EA LT Y . co m

2019

2020

2021

2022*

M A R K E T OV E R V I E W LUXURY MARKET OVERVIEW

> $1MM

> $2MM

111 133 101 134 178 249 202 299 346 386 348 723 875 379

29 43 33 54 63 107 73 111 105 147 94 257 284 137

> $5MM

> $10MM

2 8 4 8 10 13 17 22 23 34 25 57 76 28

0 2 0 4 2 3 1 2 2 7 5 5 20 13

ACTIVE LISTING INVENTORY

1,393

1,598

1,803 1,075 683

2011

2012

2013

2014

2015

766

2016

640 2017

495 2018

516 2019

231

137

2020

2021

364 2022*

MARTIS CAMP VS TAHOE LAKEFRONTS MEDIAN SALES PRICE LAKEFRONTS $4,037,500 $3,700,000 $2,937,500 $3,200,000 $3,450,000 $3,025,000 $3,651,774 $4,176,000 $4,176,000 $3,747,000 $4,287,500 $4,388,000 $8,574,143 $7,610,000

$11,000,000

$8,250,000

$5,500,000

$2,750,000 0 2009 2010 2011 2012 2013 2014 2015 2016 2017 2018 2019 2020 2021 2022

D ata co l l e c ted J a n u a ry – J un e 2 0 22. Data con tain ed i n thi s re port i s from the Ta hoe Si e rra Boa rd of Re a l tors. Informat io n is d e em e d r eliable but n ot g uaran teed. Con sul t your Ta hoe Mounta i n Re a l ty Broke r for m ore i nform a ti on.

MARKET NEWS Greetings – For Tahoe – Truckee real estate, the first half of 2022 carried through the momentum of previous years wherein historically low inventory was met with surging demand driving pricing up at an astronomical rate. Whether this momentum carries forward or proves to be the start of a taper within a bell-shaped curve will be determined in the waning months of the year.

In the first half of 2022, inventory held at between 1-2 months’ supply; painfully biased in the seller’s favor in a market where equilibrium is 6 months. This has driven both median and average price up by more than 15% year-over-year.

While the total number of active residential listings has nearly tripled from the beginning of the year, total supply remains at less than a 3-month absorption rate. Thus, this increase, typical of Q2 once ski season has come to an end, is the equivalent of slowing from 120 mph to 85 mph in a 65 miler per hour zone.

In a normal year, July through December sees double the volume of the first six months. To date, 631 residential properties have transacted, exactly 34% of 2021’s total. Premium sales in luxury pricing categories are all well ahead of this pace driven by continued demand for newer, modern homes within highly amenitized communities.

Despite warning signs for the national housing market, the Tahoe economy remains very strong.

Demand from the Northern California feeder markets is present and qualified with the increased flexibility of remote work, even if more limited than during the height of the pandemic, is increasing interest in having a foothold in a mountain community.

Sales in recent years have included very little over-leveraging or speculative purchasing that would lead to panic selling in an environment of rising interest rates. Utility among homeowners, both primary and those occupying as second homes, remains very high indicating that a cascade of new inventory is unlikely.

If change from the peak of real estate hysteria in 2021 is now evident, it is that consumers are more cautious in their purchasing behavior, taking the time to ensure that value is reasonable, and homes are in proper condition. Barring greater headwinds then those already present in the national or geo-political economy, we expect the remainder of 2022 to be a more balanced period for real estate activity in the Tahoe Truckee region.

Best regards, Jeff Brown

General Manager Tahoe Mountain Realty

530.550.2000 | info@tahoemountainrealty.com | tahoemountainrealty.com | BRE 01995145 | PO Box 3757, Truckee, CA 96160