Inside Incline - Incline Village Real Estate Monthly Newsletter and MLS Listings and Sales Update

The chart below will give you the raw data followed by my analysis. Please note that the figures for PUDs are skewed higher due to the Incline Creek Estates complex starting to sell in greater numbers. A disproportionate percentage of the PUD sales in 2007 have been in ICE.

                                    Houses         Condos         PUDs

Sales YTD 2006                 57                 55             13

Sales YTD 2007                 70                 44             18

Median Price 2006     1,150,000             575K            747,500

Median Price 2007     1,187,500             587K         1,034,500

Median In Escrow      1,600,000             599K         1,352,560

# of Units in Escrow          22                 11              11

Total unit sales for the first half of 2007 are up slightly in 2007 (132 vs 125 in 2006). What is interesting to note is that sales of houses in units are up 20% but condos are down a similar amount. With a decent number of houses for sale in the 800K to $1 million price range, it appears that buyers in that price range are choosing houses over condos. In the past 18 months only 16 condos have sold in that range vs. 42 houses.

While many buyers continue to sit on the sidelines and wait for wholesale price declines, the evidence points toward firm prices. This is in spite of a total inventory of 450+ properties currently on the market. The old adage about Incline Village holds true, people buy and sell here because they want to, not because they need to. There will be an occasional seller who is very motivated and prices their property at or slightly under market. But there will not be any massive price declines across the board. The intrinsic value of property in Incline Village along with the quality of life we have here makes this the most desirable community at Lake Tahoe.

Because we have such a wide selection of inventory there is no reason to expect prices to rise significantly in the next 12 to 18 months. I expect the current plateau to remain until at least the Spring of 2009. Depending on future economic factors and inventory absorption rates we may see prices start to creep up in 2009.

So, what does this mean for buyers and sellers in 2007? If you’re a seller, accept the fact that 2 out of 3 properties currently on the market will not sell this year. You will need to price your property appropriately if you wish to have a reasonable chance of selling in 2007.

The biggest demand is for lake view homes, remodeled homes at low elevation and 3 to 4 bedroom properties. 90% of the homes sold in the past 18 months were under 5000 sq. ft. and under $3 million. It’s somewhat of a buyer’s market, but no one is giving away property in Incline Village. Buyers can bargain hard, but they will have to pull the trigger when they find a good value. High elevation properties continue to be slow movers giving buyers more bang for the buck above 7000’.

July 2, 2007 - Incline Village Real Estate Market Info:

                                        HOUSES                                  CONDOS                                    FREE-STANDING 

Currently on the Market       204                                           185                                                  66

# For Sale Under $1 Mil.       63                                            172                                                  33

Lowest Priced Unit          $537,000                                   $219,000                                         $419,000 

Highest Priced Unit     $19,500,000                                 $4,295,000                                       $2,547,000 

Median For Sale Price    $1,650,000                                   $565,000                                       $1,098,000

Total New Listings   30  (This count includes all new listings whether or not they have been re-listed; 9 of the new listings this week are repeats)

New Open Escrows    9                                                    

Closed Escrows         2

Weekly sales summary of properties that went into escrow from 6/25 - 7/1/07:

Number of Units:   Condo - 2   Free -Standing Condo - 1  Single Family Residence - 6    Lot / Land - 0  MultiUnit - 0  
Price Range: Low - $599,000        High - $9,995,000

BEST BUY FREE STANDING CONDO - See A Virtual Tour
949 Dana Court - #12 Tahoe Palisades
3BR, 2BA, 1,718 sq. ft. $749,000
Tastefully Updated and Fully Furnished Free-Standing Condo with 2 Person Jetted Tub. Newer Appliances, New Laminate Flooring, New Roof. Peek of the Lake & Mountain Views, Plus Cathedral Ceilings & Sky Lights for a Wonderful Tahoe Feel.

333 Ski Way - #259 Ski Way Ridge
$367,500 – 1BR, 2BA, 1,062 sq. ft. Condo with 2 person jetted tub, new ceramic tile in entry, kitchen and baths, new W/D, underground parking, elevator, good rental!

333 Ski Way - #288 Ski Way Ridge - See A Virtual Tour
$525,000 – 2BR, 2BA, 1,244 sq. ft. Penthouse condo with 2 person jetted tub, newer carpet, some updated appliances. Enjoy mountain views from the deck!

120 Village Blvd - #118 McCloud - See A Virtual Tour
$594,500 – 2BR, 2BA, 1,111 sq. ft. Upper unit as close to the beach as you can get in the McCloud complex. Recently updated with new appliances, new ceramic tile and stone tile, new sinks and faucets. Nicely furnished!

120 Country Club Drive - 41 Village at Incline - See A Virtual Tour
$895,000 – 3BR, 3.5BA, 2,760 sq. ft. Condo across the street from the Hyatt Hotel and Casino. One of the best locations and being offered with elegant furnishings.

553 Pinion - See A Virtual Tour
$925,000 – 3BR, 2 BA, 1,920 sq. ft. Lake View Home
The only low elevation lake view home under $1 million features a huge great room and spacious master suite on the upper level and guest rooms plus sitting room below. 2 car attached garage, large nearly level lot, new roof!

929 Northwood Blvd - #31 Third Creek - See A Virtual Tour
$1,150,000 – 2br, 2.5BA, 2,238 sq. ft. Remodeled end unit condo for the most discriminating tastes. Custom kitchen, hardwood floors, imported slate fireplaces, high end finishes throughout. The finest 2BR condo at low elevation anywhere in Incline Village or Crystal Bay.

For Daily Updates and Commentary on the Incline Village Real Estate Market visit my web site at: www.InsideIncline.com

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Copyright 2007 Don Kanare - All rights reserved.