December 2018 Tahoe-Truckee Market Update

For the first time in recent memory, seasonal conditions are aligning with the real estate market to create a Goldilocks beginning to the winter season. After nearly a decade of winter starting too late or coming in too heavily, a series of storms from Thanksgiving into early December have created mid-winter conditions to start the season. Combined with continued strong real estate conditions, a perfect storm for mountain property is in the making.

Despite the traditional 4^th quarter taper for real estate activity, there remains considerable deal flow in the market. November experienced 137 residential transactions at an average price of $911,537. These figures dramatically outperform historical averages, falling short only in comparison to the record activity during this period in 2017. Consistent with much of this year, November fell short of last year’s volume by 15% while surging on average price by 13%.

Premium sales continue to drive pricing upward buoyed in November by yet another 4 Martis Camp homes ranging from $3,075,000 - $7,000,000.  Within Northstar, a Ritz Carlton Penthouse Residence traded for $4,400,000, while Lahontan and a rare Sugar Bowl home sale each saw trades near $3 million.

While word of real estate slowdowns abound in outlying regions, the Tahoe-Truckee market continues to thrive. Available supply remains titled in the favor of sellers at just over 4 months’ inventory. Demand coming from Northern California communities has intensified as a greater number of high-wealth families find retreat in the mountains, whether as primary owners seeking a lifestyle enhancement or the traditional second homeowner. During the tragic Camp Fire in November, countless Bay Area families decamped for clean mountain air as schools were cancelled. The commentary from a remarkable number of those impacted was contemplation of a lifestyle change to the mountains where traffic is minimal and the pace less hectic. Local infrastructure has kept pace with the needs of these consumers creating the necessary components to complete such a move including high-achieving schools, high capacity internet service and expanded airport capacity. Trails, ski slopes, blue skies and clean air are fixed commodities.

With a Goldilocks season upon us, the focus on the market is likely to shift to Mountain properties. As the saying goes, it is easier to drive to golf / trails in the summer than to skiing in the winter. When conditions permit, the value of mountain resort living becomes obvious turning the spotlight on new offerings. Mountainside at Northstar will be launching its newest project; Boulders in December after recently selling out its Stellar Collection. Similarly, look for interest in the Village at Northstar and other premiere mountain offerings to gain meaningful attention in the coming months.  

I hope that you’ll be able to experience this remarkable start to winter in the coming weeks. In the meantime, best wishes for a happy and healthy holiday season.

Photo courtesy of Tahoe Mountain Lodging 

Katie Tyler

BRE 01442453

c 530 277 1012 

November 2018 Tahoe-Truckee Market Update

According to the rhythm of Tahoe-Truckee real estate, October is typically the zenith for closed transactions in any given year.

2018 appears to have peaked out early with a massive month of August while otherwise following a generally traditional pattern. As has been the case for most of 2018, the number of transactions will lag the prior year slightly however average price is markedly higher driven by a huge volume of premium sales.

An average sale price of $1,050,213 for October reflects an increase of 26% over the same period in 2017. Median price was also up an impressive 14% year over year.

Unlike recent months where singular mega-sales have driven average price upward, October saw a steady flow of high-end sales including 4 residential transactions in Martis Camp from $3.6m to $7.3m, another 4 in Lahontan from $2.2m - $3.5m, and 9 transactions in Northstar as focus begins to shift toward winter mountain property.

At Northstar, the Mountainside community experienced the sellout of its Stellar Collection with the final on-mountain residence in two distinct enclaves sold out. This sets it up nicely for the release of Boulders, an ideally balanced project of elegant mountain homes starting at $2.2m.

With the end of summer came the final sales within the Legacy Collection at Old Greenwood. Within this community, the introduction of diverse product has proved stimulating with a record quantity of custom and multi-family homes trading at values not seen since before the recession.

Consistent with the figures present above, inventory remains slightly tilted in the seller’s favor at just under 5 months’ supply. This number is slightly elevated from the same period last year largely inflated by overly ambitious, and largely unmotivated, sellers.

Thus, we conclude the peak selling season for 2018 in fine fashion. While the market will remain throughout the entire year, there will be a taper through year end and into early January before winter closings pick back up. The economic landscape may look different 90 days from now however the fundamental elements that make Lake Tahoe homeownership rewarding will remain constant.

Katie Tyler

BRE 01442453

c 530 277 1012
ktlaketahoe.com

The Ritz-Carlton, Lake Tahoe

The Ritz-Carlton, Lake Tahoe

The Ritz-Carlton, Lake Tahoe is nestled at the heart of Northstar mountain, surrounded by giant pine trees, ski runs and stunning views in every direction. There are options to own a condominium residence, to stay as a guest in the hotel, or to come visit this inviting iconic property for a day trip or evening dinner. Just being at the Ritz-Carlton, Lake Tahoe is a delightful adventure in itself as there are always many fun activities planned each season, all year long.

This winter, the Ritz-Carlton hosts "Marshmology, the art of the S'more" every day between 4:30pm and 5pm on the ski deck. This complementary event provides house-made marshmallows and all the fixings for a truly unique s’more.


Also on the deck each afternoon from 12pm – 5pm is a raw bar featuring shrimp cocktail, oysters on the half shell and ceviche. A perfect pairing with Moët & Chandon for a cheers to another unforgettable spring day on the slopes.


A can't-miss dining experience is the renowned Manzanita Restaurant for lunch, brunch or evening fine fare and cocktails. Sunday Brunch features a chilled seafood display, carving station along with signature dishes that are unforgettable. For dinner, with advanced reservations indulge in a chef’s menu with a culinary journey and personal interrelation with the chef Stephen Toevs at Manzanita. Some more scrumptious options include the Backyard Bar & Grill (outdoor deck dining/apres ski), The Living Room (casual setting surrounding the fireplace) and Café Blue (coffee and light fare).

There is plenty to explore for visitors of all ages. The kids are sure to have fun with games like "Where Is The Bear", a hunt for the a stuffed teddy bear or the scavenger hunt, a hunt for specifics around the hotel.  Kids will have a fun filled task to search the building for treasure to win a prize.  Ritz Kids is always available for all day, 2 hours or anything in-between.  Kids will engage in activities that encourage interaction with the mountain setting in a fun and creative way.  On Fridays, complimentary popcorn and beverages are served which is perfect to fuel up before the whole family converges at the arcade for pinball, basketball games, air hockey or Guitar Hero.


Don’t miss a trip to The Ritz-Carlton, Lake Tahoe next time you are in town.


Click here for more details on The Ritz-Carlton, Lake Tahoe events.

Katie Tyler

Realtor®

BRE 01442453

c 530 277 1012