The housing market has definitely slowed locally and the national daily average for sales fell to the lowest this year. Both rental and homeowner vacancy rates are still near historical lows, reflecting a continued tight housing market. A tight inventory in the housing market means there are still more buyers than available houses nationwide. Inventory has increased only slightly and the shortage of homes is causing prices to continue to rise despite the slowdown in the last few months. The price of a median single-family home is still up 14.2% nationally from last year at this time. This is good for sellers because equity is continuing to rise and good for buyers as the market has slowed enough to allow for more time to make a decision and the slight increase in inventory means there are more options to choose from.
We are already seeing more prospective buyers searching for homes. Prospective buyers who were actively engaged in the process of buying a home rose to 49% in the second quarter after declining for the previous 3 quarters.
Prices nationally are still up significantly from pre-COVID. According to the National Association of Realtors the 5 most expensive US cities are still well above 10% year-over-year:
- San Jose-Sunnyvale-Santa Clara, Ca., up 11.8%. The median price is $1.9 million.
- San Francisco-Oakland-Hayward, Ca., up 11.9% median price is $1.55 million.
- Anaheim-Santa Ana-Irvine, Ca., up 17.2%, median price is $1.3 million.
- Urban Honolulu, Hi, up 17.3%, median price is $1.15 million.
- San Diego-Carlsbad, Ca., up 13.6%, median price is $965,900.
The Fed is still determined to bring inflation down even at a cost of a slight economic downturn. That along with continued supply issues and a tight labor market (unemployment is 3.5%, the lowest since 1969) means we will likely see mortgage rates pushed back up some. Although rates continue to fluctuate, the housing market is showing signs of stabilization to a more balanced market.
Here’s the numbers from our local market this week:
We had 1 new condo and 1 new homes come onto the market this week. We currently have 36 active condos ranging from $377,000 to $3,200,000; the median condo price is $837,450. We currently have 48 active homes on the East Shore ranging from $630,000 to $64,500,000 with the median price of $3,069,000. Here’s a year to date local update:
Local East Shore Lake Tahoe, Nevada Stats – All Year to Date
Total Sales YTD:
Condos: 63 (↓15% YOY) | Homes: 56 (↓49% YOY)
The Median Sales Price:
Condos: $680,000 (↑7% YOY) | Homes: $1,649,500 (↑2% YOY)
Number of Sales Over $1 Million:
Condos: 12 = 7% (↑6% YOY) | Homes: 47 = 90% (↑13% YOY)
Highest Priced Sale:
Condos: $5,665,500 (↓6% YOY) | Homes: $32,000,000 (↑52% YOY)
Median Price Per Square Foot:
Condos: $593.82 (↑15% YOY) | Homes: $574 (↓2% YOY)
Median Days on the Market:
Condos: 69 (↑33% YOY) | Homes: 75 (↑4% YOY)
List to Sell Price:
Condos: 99% (↑1% YOY) | Homes: 98% (↓2% YOY)
Price Reductions this Week:
Condos: 0 | Homes: 0
If someone you care about needs guidance or recommendations, please share our contact information as we are honored to be able to help! If you would like to receive our in-depth market update or would like an evaluation of your property’s value we would love to hear from you! We’ve put together some information below that we think you’ll find useful. If you have anything you want to share with our community please let us know so that it can be included in future newsletters.
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Craig Zager & The Zager Group