Both South Lake Tahoe and the Nevada East Shore experienced a sharp drop in the number of new listings last week. This could be because many sellers prepare their homes for listing over the 4th of July weekend. Thus pending sales took over again at South Lake as new listings trailed those entering escrow for the first time since the beginning of June. The East Shore however added more inventory than property entering escrow.
I see a trend occurring in both our South Lake Tahoe and NV East Shore real estate market. If you’re a buyer whose been waiting on the side lines or a seller waiting for the market to continue upward then you may want to read on. For the last year we have constantly seen more properties entering escrow than have come on the market. However since the week before Memorial Day that trend has started to reverse. At South Lake this week we saw over twice the amount of new listings as property entering escrow. It was the same over on the NV East Shore. If this trend continues we could see market values start to stabilize.
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.
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.
Single family sales continue to climb through the last week of February at South Lake Tahoe. There have been 85 property sales since January 1st as compared to only 52 last year at this time. We currently have 53 properties on the market starting at a price point of $399,000. On the Nevada East Shore sales have more than doubled to 26 units this year as compared to only 10 units in 2020. There are currently 20 single family properties on the market starting at a price point of $725,000. We need inventory!
Skyland is one of the few neighborhoods on the Nevada East Shore to have not sold as many properties as the previous year. In 2019 and 2020 there were a total of 11 sales each year. One of the predominant changes thus far in 2020 has been the reduction in the total average days on market to sell a property. 2020 saw days reduced from 185 in 2019 to 97 this year. Homeowners will be happy to know the median average sales price has increased 5.6% from $1,197,000 in 2019 to $1,265,000 this year.