The adage “quality over quantity” best sums up the Tahoe-Truckee real estate market for 2014. With soaring economic conditions in the San Francisco Bay Area, more and more families made their way to Lake Tahoe to spend quality time together. This demand for home ownership led to a second straight year of over $1 billion in sales – the first time since 2004-2005.
Following an exceptionally robust 2013, quality inventory was at a premium heading into 2014. Despite fewer overall sales, the region’s dollar volume grew by over $100 million, indicative of a higher number of transactions for the market’s top tier properties. Average price grew by 18% in 2014 buoyed by 249 transactions at prices greater than $1 million.
Three communities in particular set the tone for the surging luxury market in 2014.
Tahoe Lakefronts, the gold standard for Tahoe real estate, outperformed all other classes over the past year with $130 million traded over 34 properties – the highest level in nearly a decade.
Martis Camp, elevating Tahoe resort property for nearly a decade now, has only 80 homesites left so the focus shifted to the sale of custom homes. 2014 saw 36 residences sold in this community at an average price of $3,700,000 – a figure nearly identical to lakefront sales.
Finally, as Vail Resorts continues to distinguish itself as the world’s elite resort operator, the prestige of Northstar has risen to new levels. Accordingly, the opportunity to live on the Mountain has become its own calling card. Mountainside Northstar, the community anchored by The Ritz-Carlton; Lake Tahoe, has established an identity as the premiere on-mountain living experience on the West Coast. In 2014, Mountainside experienced over $40,000,000 in transactions ranging from estate land to premiere ski-in / ski-out residences.
Looking ahead to 2015, all indications are that this robust market will continue. With inventory remaining at a balanced 6-month supply and stable economic conditions Tahoe appears poised for another year of growth. As Martis Camp and The Ritz-Carlton Residences near sellout, Mountainside Northstar, Lahontan, Gray’s Crossing and Old Greenwood stand to benefit as the recipients of attention from well-qualified consumers.
At Tahoe Mountain Realty, we look forward to helping you making your Tahoe dream a reality in 2015.
Tahoe Mountain Realty