Sales of single-family residences top $2 billion in 2017
January 21, 2018
A robust regional housing market racked up more than $2 billion in sales last year on the back of across-the-board gains in each area around Lake Tahoe and Truckee.
Total dollar volume for single-family homes climbed to $2,047,333,642 in the year ended Dec. 31, 2017 from $1,875,699,559 in the year ended Dec. 31, 2016.
At the same time, sales of residences priced above $1 million increased to 482 from 424.
The five-pronged sales region is comprised of the East Shore of Lake Tahoe, Incline Village, South Shore of Lake Tahoe, Tahoe City, and Truckee. Chase International, a Lake Tahoe-based real estate agency, compiled the sales data.
"Most of those sales over $1 million were between $1 million and $3 million," said Sue Lowe, senior vice president for Chase International.
Sales of single-family residences were strongest in Truckee where dollar volume rose to $817,534,115 in the year ended Dec. 31, 2017 from $772,442,792 in the year ended Dec. 31, 2016.
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In the same period, the average price of a single-family home in Truckee inched up to $1,005,577 from $999,279. The average price was boosted by sales over $1 million, which advanced to 204 from 187.
"I think it's an extremely strong market, as the numbers have shown," said Lowe of the Truckee housing activity. "Martis Camp hit it out of the park last year. A good portion of those $1 million sales were in Martis Camp. Truckee has continued to, really, defy the market in the last few years."
Incline Village ranked second last year with total dollar volume of $369,146,174 in the year ended Dec. 31, 2017. That was up 27 percent from $291,168,521 in the year ended Dec. 31, 2016. The percentage gain in dollar volume was the highest of the five markets last year.
At the same time, the average price of a single-family residence in Incline Village surged 22 percent to $1,633,390 from $1,341,790.
The Incline market was bolstered by a surge in home sales above $1 million last year. That figured increased 12 percent to 123 from 110 in the year-over-year period.
The highlight was the $31.1 million a couple paid for a residence in the 1000 block of Lakeshore Boulevard that once belonged to casino mogul Steve Wynn.
The sale of the nearly 5-acre property, which was initially listed for $35 million in spring, features a 12,661-square-foot main home with 210 feet of lake frontage.
Of note, Wynn paid $6.5 million for the property in 1993, and then tore down an old cabin and built a new house on the site dubbed, "Old Forge," according to Tahoe Luxury Properties.
Ten-Four-One Realty Trust then bought the property from Wynn in 1998 for $17 million, public records show.
"You did have a significant amount over $5 million in Incline," said Kerry Donovan, a real estate broker associate with Chase International in Incline Village. "When you have the ultra, high-end market like it did last year, that affects dollar volume."
Home sales in the South Shore ranked third last year at $360,292,517. That was up slightly from $355,468,248 in the year ended Dec. 31, 2016.
The average price for a home in South Shore — easily the most affordable area around Lake Tahoe — climbed to $531,405 from $502,074.
The Tahoe City market ranked fourth last year with total dollar volume at $350,295,761. That marked an increase of 12 percent from $312,561,139.
The average price rose to $1,012,415 from $952,930 in the same period.
Of note, sales of condominiums in the Tahoe City market skyrocketed 111 percent to $80,721,375 in the year ended Dec. 31, 2017 from $38,188,710 in the year ended Dec. 31, 2016.
The East Shore market posted a 4 percent gain in single-family home sales last year to $150,065,075 from $144,058,859 the previous year. At the same time, the average price rose to $892,500 from $806,500.
Looking ahead, the hope is that the regional housing market continues to chug along this year.
"I think 2018 will continue to be consistently strong," Lowe said. "But what we are hoping for is a return on the uber, luxury market — the $5 million-plus buyers. Those have been somewhat scarce the last few years."
Staff writer Wyatt Haupt Jr. can be reached at 530-550-2652 or via email at firstname.lastname@example.org.