The Nevada East Shore took a dive in new listings last week. This was the first time since mid-March new listings fell behind the number of properties entering escrow. South Lake Tahoe had a 30% increase in new listings just beating out the number of properties entering escrow. Closed sales for April 2021 more than doubled on the East Shore from last year while sales tripled from one year ago at South Lake Tahoe.
In the past six months, rental prices in Lake Tahoe and Truckee have risen by 25% to as much as 50%. Last year, a three-bedroom home might have rented for $2,000 to $2,500. Now, those same homes are renting for closer to $3,000 a month, while larger houses are renting for $5,000 a month, or higher. Many landlords however are seizing the opportunity to sell homes they previously rented to locals. The best way to get a place right now is knowing someone who knows someone, said a woman on Facebook looking for a rental.
Waiving one or more contingencies isn’t the only way a buyer can entice a seller to accept their offer over others in a competitive situation. Buyers offering to pay a portion of the seller’s closing costs and taxes, or releasing the earnest money deposit early could help. Offering the seller a flexible timeline or allowing them to rent back the property temporarily after closing could be attractive too. Another option, instead of waiving the inspection, would be to offer a shorter window for it to take place to speed up the buying process. Working with a local lender rather than a larger, national company, in order to get a better appraisal could also help.
Douglas County Commissioners on Thursday once again approved a moratorium or temporary suspension on the issuance of new vacation rental permits within the Tahoe Township till their next meeting in 4 weeks while they reviewed the current ordinance. At issue was whether to establish a cap on the number of rentals and if this should be done annually. Measures to control rental density, and radius analysis was also delayed.
Last month in South Lake Tahoe, the TRPA Governing Board approved a 248-unit workforce housing project south of the “Y” on surplus land donated by the California Tahoe Conservancy. The collaborative project brought together the developer and the non-profit St. Joseph Community Land Trust with the Conservancy, the City of South Lake Tahoe, and El Dorado County.
Nevada’s Governor announced a plan to commence all in-person showings and open houses of single family and multi-family residences currently occupied and on the market for sale, effective at 12:01 a.m. on October 1, subject to the following limitations:
- Showings and open houses of properties may not take place with the occupant present.
- Showings of properties are limited to one prospective buyer and one real estate professional for both the seller and prospective buyer at a time. For the purposes of this provision, “a prospective buyer” includes the buyer and the buyer’s spouse, domestic partner, business partner, or family members.
- Sellers conducting an open house are responsible for ensuring that there will not be more than one prospective buyer viewing a property at any given time. This may require having an individual present to properly meter prospective buyers entering an open house.
- Sellers are encouraged to utilize appointments for in-person showings and open houses to the greatest extent practicable.
- Real estate professionals are encouraged to utilize three-dimensional interactive property scans, virtual tours, and virtual staging to the greatest extent possible.
- Real estate professionals are encouraged to avoid in-person transactions and services to the greatest extent practicable.
- Real estate professionals must require all participants at in-person showings and open houses to wear face coverings at all times pursuant to Directive 024 and must follow CDC guidelines for in-person showings and open houses.
Some additional guidelines recommended by the CDC and Nevada REALTORS® are as follows:
• All visitors maintain 6ft;
• Real estate professionals have available gloves and hand sanitizer for use and remind clients to not touch surfaces when viewing property as well as wipe down surfaces as frequently as possible.
I was asked recently about the percentage of sales at South Lake Tahoe that had sold above the seller’s asking price in the last 30 days. Based on a total of 137 single family home sales the numbers I saw caught my attention. Especially when compared to last years numbers.
Forty percent of the properties sold in the last month were above the asking price which was to be expected with the lack of current inventory. 43% were sold below the asking price. Further research showed most of those properties had been on the market for over 60 days or were homes priced over $1,000,000.
Only 17% were sold at the asking price. Regarding properties priced over $1,000,000 only 2 of 16 residences sold above the asking price.
Looking back on 2019 as a reference there were only 62 single family sales during the same time period. That was 55% less than this years sales during the same time period. Plus there were only 6% of the properties sold above the asking price as compared to 40% in 2020. 81% sold below the seller’s asking price, and 13% sold at the seller’s asking price. Who knew? Now you do.
September 13, 2020