2016 1st Quarter Recap
The first quarter of 2016 in the North Tahoe area has been differentiated from 2015 most visibly in terms of snow, which is clearly one of the most important variables impacting sales in the region. The last few dry winters have given a baseline to compare seasons and the 2015/2016 winter will come to a close at 100% + snowpack. Regionally, sales are up about 15% from 2015, which makes sense in terms of snow, enthusiasm for the area, and increased visitation.
Martis Camp has been an anomaly for a handful of years and has been able to defy market and snow conditions. However, in 2016 the numbers at Martis Camp are trending closer to the regional averages in comparison to 2015. Looking at the first quarter 2016, resale land transactions were almost even with 7 lots sold in 2015 and 8 sold in 2016 for the same time period. The premium sale this year was site 126 with golf/Northstar views and walking distance to the amenity core at $1.8M.
Developer inventory is approaching sell out with about 13 homesites remaining. The prime resale sites that will command the highest prices will continue be those that are defined with great views or location in proximity to the amenities. The cost of construction is steadily increasing, and in many cases buyers will look to find a home that is already built vs. taking on a construction project.
There was an increase in single-family homes sales in 2016 with 10 homes sold in comparison to 7 in 2015 at this time. The average price/square foot of properties sold changed very little from 2015 ($1015/sf) to 2016 ($1,033/sf). About 40% of the home sales in 2016 have been the efficient cabin properties in the sub $4M price point. The highest sale comp in 2016 is also the highest priced property ever to sell at Martis Camp at just under $7.2M.
Currently there are 27 homes available at Martis Camp. In 2015, the majority of the home transactions for the year took place after August 1st. If 2016 buying behavior is similar, expect to see some appropriate reductions from increasingly motivated sellers who want to attract buyers and prevent their listing from becoming stale.
With 24 resale homesites available, it would appear there is a wide range of buying options. However, there are only a few choices in the most sought after locations. Site 233 is in the cabin neighborhood near the Park Pavilion/Putting Course and is listed at $899K. Only 2 estate homesites are available near the desirable golf and amenity core area (Site 122 at $995K and Site 125 at $2.75M).
More land and built inventory will come on the market as the prime summer season approaches. It will be interesting to see if the buying and selling trends at Martis Camp become more aligned with the region for the rest of 2016, or if they diverge as they have in the past.