The Tahoe Real Estate Market Changes like the Weather

Now that summer is officially here the Tahoe real estate market is also changing influenced by factors such as interest rates, housing inventory, economic conditions and local rules.  Mortgage rates have remained relatively high, which has impacted affordability for many buyers. These higher interest rates which have doubled in the last two years have a dramatic increase on mortgage costs.

As of June we are now in a Buyer’s Market

The market here literally just changed overnight from a sellers market to a buyers market due to the drastic increase in inventory.  Until now the inventory of homes for sale has been tight, leading to competitive markets and higher home prices.  We are seeing about 20 additional houses hitting the market weekly.   Unless the home is priced very competitively or is spectacular expect it to sit on the market.

Home Prices are Starting to Drop 

Home prices have continued to rise in many parts of Tahoe but now with the increase in inventory there are more and more price reductions daily.   A seller I just met with I had to ask them “do you want to price the home to sell?  This is the key question in this market.  If it is not priced aggressively the home will most likely sit and collect dust.  

Rental Rates are Beginning to Drop

The Tahoe Real Estate Market Changes like the Weather and now the rental market is also being affected.   We saw high demand and very limited supply during Covid but those days are over .  A year ago there was literally nothing to rent now rental agencies have pages of homes available and most of them are priced over what the market will bare.

The Summer Weather is Here and its alot Hotter than the Real Estate Market

The market hopefully will change this summer and into fall with the weather as the town swells with folks, hopefully some are homebuyers. The local issues we are facing in this town are also making people nervous and some are selling because of it.  The looming vacancy tax vote, point of sale defensible space inspections, the increased risk or wildfire and insurance costs.  Summer is here, enjoy the weather and for your real estate needs please let me help you.

The Tahoe Real Estate Market Changes like the Weather-hahah will it snow next?