Lake Tahoe Market Conditions Update for June 2013
The market in Lake Tahoe over the past few months has been rip-roaring! After a slow and painful down market rife with distressed sales, upside down property values and homeowners walking away from their homes, we have seen an extreme shift. Property values have increased, seemingly overnight, as well as buyer confidence and interest. We’re seeing multiple offers, over asking… It’s pretty interesting to say the least.
Some factors I consider, as a real estate agent, when looking at real estate markets is supply and demand, cost and availability of funding, as well as, the historical trends and patterns within local markets. Summer is typically the most active selling season in Lake Tahoe and inventory is usually lowest during the late winter and early spring. This low or “tight” inventory coupled with very low interest rates have helped fuel the rebounding values seen this spring.
Increasing property values is great news for seller’s of Lake Tahoe Real Estate, but, with rising interest rates it may be a double edged sword. The higher the cost to borrow money the less buyer’s are able to spend on purchasing a home.
We’ll see how things go through the summer with fluctuating (rising) interest rates and increasing inventory. Average current Home Loan Mortgage Rates for the area are approx. 4.5% for a 30-year fixed rate loan. Let me know if you or anyone you know is interested in buying or selling in Lake Tahoe, we service North and South Shore and are available 7 days a week.