Closed Sales of Homes Sold in South Lake Tahoe on the Decline

After the frantic pace of home sales in South Lake Tahoe over the past two years, things are starting to slow down to a more level pace. Home sales in South Lake Tahoe, California dropped 13% in the month of July, mainly due to the fact that there is a lower inventory of homes priced under $300,000. Homes priced between $435,000 and $650,000 actually saw a rise in closed sales, up 20.5%. There was a huge surge in home sales from 670 a year in 2012, to a peak of 790 for the year ending in May of 2013, back to 678 for the past 12 months.

The median sales price of homes that closed escrow in July was $335,000, which is a jump of 19.6% from a year ago. The lowest median sales price we’ve seen in South Lake Tahoe over the last seven years was in 2012 when the median price of homes sold between August of 2011 and August of 2012 was $231,000.

There is still a lot of interest from home buyers in the South Lake Tahoe area, both on the California and Nevada sides of the lake, and now they have more choices as the inventory of homes for sale has risen slightly since last year, but nowhere near the number of homes on the market back in 2008, our highest point at 676 homes on the market on the California side. On the other side of the state line, there are currently 165 houses and condos for sale with 192 homes selling over the last year.

While people interested in homes in South Lake Tahoe want a good deal, we’re seeing an increase of those interested in homes prices over $1,000,000. On the Nevada side there were 46 sales of homes priced over a million during the last 12 months, compared to 53 the prior year and just 16 between July 1, 2011 and June 30, 2012. On the California side there were 21 closed sales in this range each of the last two years, and just 12 the prior year.

In just the last two months, 14 homes have sold on the south shore for over $1,000,000, 3 on the California side and 11 on the Nevada side!

If you have any questions or would like further information on the Lake Tahoe real estate market, please call me at 530-541-2465 or email at dan@paradise-realestate.com.