A lack of inventory has dragged down the Lake Tahoe real estate market through the first nine months of 2014, according to the Lake Tahoe, Nevada-based Chase International.
Through Sept. 30 this year, the sales volume of single-family homes around the lake was down 15 percent at $727.4 million, compared with $853.7 million in the year-ago period. Likewise, the number of units sold declined 19 percent in the same period, from 1,087 last year to 877 in 2014.
Year over year, Chase said the median sales price of a Lake Tahoe home is down 19 percent to $472,000, but the average price was up 6 percent to $829,502. Sales of homes priced at more than $1 million were down 16 percent; sales of those sold for less than $1 million were down 20 percent.
“The decline in sales is a direct result of lack of inventory,” Sue Lowe, corporate vice president of Chase International, said in a statement. “The majority of lakefront homes have been sold, and there’s not a lot to pick from, which also influences median prices.”
Lowe noted, however, that there were several multi-million-dollar, confidential sales on Tahoe’s East Shore that were not reflected in the report.
Chase said sales on the East Shore and Incline Village dropped significantly in the nine-month period, but both Tahoe City and the South Shore saw upticks in sales and prices. Nearby Truckee also saw improvements – a 28 percent rise in units sold for more than $1 million (86 compared with 67 in the first nine months of 2013), and the median home sale price was up 17 percent to $587,250.
The report also noted that Lake Tahoe’s condo market is benefitting from the lack of inventory. There was a 13 percent rise in the number of units sold for more than $500,000, and a 10 percent increase in both the median ($345,000) and average ($485,696) prices.