West Lake Tahoe, Homes for Sale, Real Estate Market Report, June 2012

June 2, 2012 By Laura Allen, Broker Associate, Tahoe Real Estate Agent, CA RE 01473598 | 530-414-1260

West Lake Tahoe, Homes for Sale, Real Estate Market Report, June 2012

West Lake Tahoe, California is known for its easy access, forest setting, and casual, outdoor lifestyle. This area is approximately 15 miles of Lake Tahoe shoreline and starts with Tahoe City, California where Highway 28 meets Highway 89 South ending in the Rubicon Bay area right before the D.L. Bliss State Park / Emerald Bay area.

West Shore Lake Tahoe Homes for Sale:

West Lake Tahoe is also known as the West Shore of Lake Tahoe and homes in this area are easily accessed by Highway 89 South.

West Lake Tahoe is made up of several communities they are either located in unincorporated Placer County, or unincorporated El Dorado County, California. West Lake Tahoe is close to the popular ski resorts – Homewood, Alpine Meadows, and Squaw Valley. This area is also close to biking, hiking, golf courses, restaurants, shopping, and all of the water sports that Lake Tahoe is known for.

You’ll find tiny, old Tahoe cabins that are nearly 100 years old, along with multi-million dollar luxury, lakefront estates that define the ultimate in mountain luxury living. In the Meeks Bay – Rubicon Bay area, the beaches are known for being white and sandy and Lake Tahoe showing off its beautiful colors of blue and green. If you’re a bike rider, the West Shore offers some of the best bike paths that follow the edge of Lake Tahoe.

West Lake Tahoe also offers some of the most exclusive, gated condominium developments in area.

Each year visitors come to West Lake Tahoe to experience the beauty and outdoor lifestyle the area has to offer. West Lake Tahoe has a number of popular public beaches and parks that are maintained by the Tahoe City Public Utility Department.

Well known neighborhoods and communities in West Lake Tahoe include:
Tahoe City
Comstock
Tahoe Sierra Estates
Tahoe Woods
Lake Tahoe Park
Talmont
Alpine Peaks
Pineland
Timberland
Ward Creek
Skyland
Tahoe Pines
Tahoe Swiss Village
Homewood
McKinney Shores
Chamberlands
Tahoma
Glenridge
Meeks Bay
Rubicon Bay

Sold Single Family Homes in West Lake Tahoe, California:

In West Lake Tahoe, California, lakefronts, mountain homes, and cabin prices averaged $360,250. We would expect the average median sales prices for the rest of the year to move higher as new home listings replaces older listings that have sold. Since the market peak in 2006, the average median home sales price on West Lake Tahoe has dropped -56%.

There were 52 single family homes sold for the first 5 months in 2012. Of those sales, 2 were lakefronts ranging in sold price from $3,435,000 to $11 million. West Lake Tahoe luxury lakefront sales were 4% of the market. Homes sold up to $499,999 represented 67% of the market.

Cash sale transactions for North Lake Tahoe area dropped slightly to 29%, which is below the Lake Tahoe – Truckee, California regional trend of 34%.

The current absorption rate for North Lake Tahoe, as of 06/01/2012 is at 7.67 months. Anything above 7 months of inventory is considered a Buyers’ market, 5-7 months is a balanced market, and below 5 months is a sellers’ market. If the inventory levels continue to drop, the West Lake Tahoe market will become a balanced market.

There were only 9 distressed sales (bank foreclosures- real estate owned (REO’s) and short sales), or 10% of the market was a distressed sale for the first five months of 2012. As of 06/01/2012 only 10% of the active homes available for sale were currently distressed sellers, which is a significant improvement, and may be signaling a fundamental change in market conditions.

There were 92 Active – available homes, cabins, and lakefronts for sale on West Lake Tahoe as of 06/01/2012. Houses, cabins, and lakefront properties ranged in price from $139,900 to $20 million. Of the 92 homes offered for sale there were 2 REO listings, 5 Short Sale listings, 1 Notice of Default, and 1 Court Approval listing, which only represents 10% of the market as a distressed sellers, which is a 15% improvement over the 2011 distress seller rate of 25%. There were 18 pending sales on West Lake Tahoe ranging in listed price from $159,090 to $1,295,000 as of 06/01/2012.

Given the tight, West Lake Tahoe housing inventory situation, and the reduction in distressed sellers, the next step for the West Shore market will be price stabilization.

West Shore, Lake Tahoe, CA, Homes for Sale Real Estate Summary:

Year	Homes Sold	Median Average Sales Price	Lowest Price Sold	Highest Price Sold	% Cash Transactions	Absorption Rate < 5 months Sellers Mkt 5-7 months balanced Mkt >7 months Buyer’s Mkt	% Distressed Sales	Breakdown of Distressed Sales
2012*	52	$360,250	$79,000	$11,000,000	29%	7.67 Months Buyers’ Market	10%	1 Court Approval 2 REO’s 5 Short Sales 1 Notice of Default
2011	117	$476,000	$165,000	$6,400,000	35%	NA	25%	1 Court Approval 15 REO’s 13 Short Sales
2010	98	$454,500	$161,000	$12,400,000	34%	NA	27%	19 REO’s 7 Short Sale
2009	92	$582,500	$276,000	$6,288,000	34%	NA	20%	9 REO’s 8 Short Sales 1 Court Approval
2008	67	$689,000	$309,000	$20,000,000	24%	NA	0%	0 REO’s 0 Short Sales
2007	86	$804,500	$261,500	$12,400,000	24%	NA	0%	0 REO’s 0 Short Sales
2006	113	$812,000	$310,000	$16,700,000	12%	NA	0%	0 REO’s 0 Short Sales

*YTD period is 01/01/2012 – 05/31/2012. Absorption rate as of 06/01/2012. Data Source: Tahoe Sierra Multiple Listing Service (TSMLS) TSMLS Areas 4-5 and is subject to change and/or correction without notice.

Use caution when only a handful of sales are available in a neighborhood. The percent changes can be significant and numbers are easily moved in either direction.

Ready to make the West Shore of Lake Tahoe, California your second home? Check out what is for sale on the West Shore here:

For all of your Tahoe real estate needs –

Laura A. Allen | 530.414.1260 | Laura@TahoeLaura.com
BROKER ASSOCIATE, Tahoe Real Estate Agent
CalRE# 01473598
Coldwell Banker, Tahoe City, CA CalRE#01908304

All information is deemed reliable, but is subject to change, and/or correction without notice.

West Lake Tahoe, Homes for Sale, Real Estate Market Report, June 2012

Tahoe Real Estate – Vacation Rental Income verses Selling your home.

May 31, 2012 By Laura Allen, Broker Associate, Tahoe Real Estate Agent, CA RE 01473598 | 530-414-1260

Tahoe Real Estate – Vacation Rental Income verses Selling your Tahoe Home?

In the Tahoe market we have a number of second home owners that often do short-term vacation rentals. These short term rentals are seasonal, and can often generate significant short-term income for the owner.

When the time comes for a Tahoe owner to sell their property one of the most common seller questions I’m asked is “Can I continue to vacation rent my Tahoe home, while you try and sell it?”

When you hire me to sell your Tahoe lakefront property, home, or condo I only get paid if I do that job. I’m not interested in just getting your listing, I’m planning on getting your Tahoe home sold!

In order to do that job successfully I need to be able to show your property with little to no notice, and your home needs to show well.

Property Showings = Sale

When you hire a vacation rental management company, they only get paid if they rent your Tahoe home. If the home has to be ready to show with little or no notice, then how can they rent it out? How does the vacation rental company get paid if they don’t rent your home?

No Vacation Rentals = No Rental Company Commission!

The two jobs are in competition with each other – Sale of your Home versus Rental Income.

Often Tahoe sellers think listing with a broker that handles their vacation rentals too is the perfect solution to this problem. After all, the broker controls both the sale/listing side and the vacation rental business, so what can go wrong with this combination?

Here’s the catch, when the property is rented out, even with proper notice and with a vacation renters’ consent, how often, or how well do you think your home is going to show to buyers?

Think about what happened the last time you were on vacation? You know what a scramble it is to pick up your hotel room so housekeeping can come in. Can you imagine having to pick up an entire home, or condo while you’re on vacation so a buyer can walk through the place?

Do you really think a vacation renter is really going to clean up, or put their party plans on hold for your buyer showing? How many times do you think someone who is paying top dollar to be at your Tahoe place is going to allow buyer showings to happen? Lastly, how well do you think your home is going to show while a vacation renter is there? Picture perfect is not the first image that comes to mind.

So do you get your property shown, or not, while it’s on a vacation rental program? The same conflict still exists for the broker who is doing both jobs – vacation rental, or selling your home, which job should they focus on?

When I am asked by a Tahoe seller, “should I continue to do vacation rentals at my home, my answer is – ABSOLUTELY NOT if you really want to sell your home!” Stop booking anymore vacation rental business right now. This answer doesn’t win me any friendship points with the vacation rental mangers in town, but it’s what a seller really needs to do if they want to sell in a timely manner. Tahoe property owners that are ready to sell need to choose one, or the other, Vacation Rental, or a For Sale sign, but not both.

No Buyer Showings = No Sale!

Selling your Tahoe home now rather than later when the vacation rentals are done.

Want to check out your Seller competition and see what is for sale in Tahoe City? Check out the homes that are for sale in Tahoe City here:

Want to see what condos are for sale in Tahoe City? Here are the current listings:

For all of your Tahoe real estate needs –

Laura A. Allen | 530.414.1260 | Laura@TahoeLaura.com
BROKER ASSOCIATE, Tahoe Real Estate Agent
CalRE# 01473598
Coldwell Banker, Tahoe City, CA CalRE#01908304

All information is deemed reliable, but is subject to change, and/or correction without notice.

Tahoe Real Estate – Vacation Rental Income verses Selling your home.

Tahoe Real Estate – What’s the difference between a Short Sale and REO/Bank Foreclosure?

May 30, 2012 By Laura Allen, Broker Associate, Tahoe Real Estate Agent, CA RE 01473598 | 530-414-1260

Tahoe Real Estate – What’s the difference between a Short Sale and REO/Bank Foreclosure?

A common question I often get from Tahoe buyers is “What’s the difference between a Short Sale and REO/Bank Foreclosure? Aren’t they both owned by the bank?”

It’s important to know the different types of sellers in the Tahoe market including Short Sales and REO sellers.

In a normal market, distress real estate sales are expected to make up 2-5% of the sales at anyone given time. Since the real estate market turned, Tahoe distressed sales are well above normal rates. In 2011 distress sales made up approximately 1/3 of all condo and home sales. That means 3 out of every 10 homes and condos sold were distressed and the remaining 7 sales were a standard sale.

Currently we have four different types of sellers in the Tahoe market today: the Standard Sale (68%), the REO / Bank Foreclosure Sale (17%), the Short Sale (14%), and the Court Approval Sale (less than 1%).

[youtube=http://www.youtube.com/watch?v=_ry5Fhwf7Qc&w=420&h=315]

What is a Short Sale? The current market value is less than the total debt owned. The seller does not have the money to make up the difference between the sales price and the debt owed to close the sale, there is a shortfall – a short sale.

In order to close the transaction, the seller has to get third party participation and the debt holder(s) have to agree to take back less in order to close the sale.

Unlike the name, there is nothing quick about the short sale process. A short sale is between a buyer and seller, with third party agreement to make the sale work. Unlike a REO/bank foreclosure property, the lenders do not own the short sale property, the seller still does.

What is a REO (Bank Foreclosure)? REO stands for Real Estate Owned. This is the term banks use to identify their bank foreclosed properties. At this point in the process, the lender has completed legal action against the property owner, and the bank is now the new owner.

REO’s are very similar to a standard sale. The owner, which is the bank, has the ability to agree to the price, terms and conditions that the buyer has proposed. As a buyer of a Bank REO property you need to know that the seller is most likely to propose an addendum to the contract you have given them. This bank addendum can dramatically alter the contract terms, conditions, contingency periods, and deadlines. You need to be prepared for the REO seller to give you little in the way of repairs, or concessions once you’re in escrow, and you need to be prepared for delays in getting the signed paper work back from the REO seller to you.

What is a Standard Sale? A standard sale is when an owner of a property puts it on the market for sale and they can close the transaction without the help from anyone else. This is our most common type of Tahoe real estate sale with over 68% of our Tahoe real estate transactions being a standard sale last year.

What is a Court Approval Sale? A court approval sale is similar to a short sale since a 3^rd party, the court, must approve the terms of the sale. A few common reasons for a court approval sale are – divorce, bankruptcy, or settlement of an estate. Court approval sales accounted for less than 1% of all sales last year, but buyers will come across them.

Knowing the type of seller you are dealing with will help you determine your buying strategy. Seller type can impact the condition of the property, the negotiation strategy, the type of contract used, the length of the escrow, property disclosures, possible repairs, not to mention deadlines, and their willingness to work with you. These are just a few of the items to keep in mind as you look at your Tahoe property options.

Tahoe Real Estate – Standard Sale, Short Sale, REO/Bank Foreclosure, and Court Approval Sales – know the different seller types.

Short Sale Homes for Sale Lake Tahoe:

Short Sale Condos for Sale Lake Tahoe

Want more home buying options? Check out the homes that are for sale in Tahoe City here:

Want to see what condos are for sale in Tahoe City? Here are the current listings:

For all of your Tahoe real estate needs –

Laura A. Allen | 530.414.1260 | Laura@TahoeLaura.com
BROKER ASSOCIATE, Tahoe Real Estate Agent
CalRE# 01473598
Coldwell Banker, Tahoe City, CA CalRE#01908304

All information is deemed reliable, but is subject to change, and/or correction without notice.

Tahoe Real Estate – What’s the difference between a Short Sale and REO/Bank Foreclosure?

Lake Tahoe, California – Memorial Day Weekend 2012

May 29, 2012 By Laura Allen, Broker Associate, Tahoe Real Estate Agent, CA RE 01473598 | 530-414-1260

Lake Tahoe, California – Memorial Day Weekend 2012

The Memorial Day holiday weekend is coming to a close and I’m once again reminded of how fortunate I am to live in a country where anything is possible.

I enjoy the freedom to work, live, and play in a country that has few, to little restrictions on me. I can come, go and travel at will. I can work as hard, or as little as I choose to. No one requires me to do, or be in any place at any given time.

I live in a country that allows me to walk down the street with little fear of being hurt. I’m not worried about being shot at, or stepping on a landmine. My water is good, the air is clean, our food is not being rationed, and my country offers the opportunity to become the person I want to be if I’m willing to work for it.

Life is good. Today is not about problems, or what may be wrong with the greatest country on this planet, today is Memorial Day. It’s a day to count your blessings.

It was a beautiful day here in Lake Tahoe, California. It made me proud to see so many American Flags out and displayed proudly.

I want to say “Thank You” to all those that have served, are serving, or plan to serve. To the men and women who serve and protect our local communities, our states, and our country, I say “Thank You” for keeping us safe. “Thank You” for being there.

To those families that have lost a loved one. Your family has paid the ultimate price for the freedom and safety we all enjoy. So on this Memorial Day, take one last moment and remember those that are no longer with us. Say “Thank You” to those that serve to protect us, and be thankful for the job they do each and every day.

Memorial Day 2012!

For all of your Tahoe real estate needs – Laura Allen | 530.414.1260 Broker Associate, Tahoe REALTOR®, Tahoe Real Estate Agent, CRS, Laura@TahoeLaura.com CalBRE# 01473598

www.TahoeLauraRealEstate.com

Coldwell Banker Residential Brokerage, Tahoe City, California.

Lake Tahoe, California – Memorial Day Weekend 2012

Tahoe Real Estate – What are Bear Boxes?

May 28, 2012 By Laura Allen, Broker Associate, Tahoe Real Estate Agent, CA RE 01473598 | 530-414-1260

Tahoe Real Estate – What are Bear Boxes?

When Tahoe buyers look at property in our area the subject of Bear Boxes is a topic that always comes up. What is a Bear Box, and why do you need one for your Tahoe home?

The answer is quite simply a bear box is a bear proof (animal proof) container that houses your garbage cans. So why do you need a bear box for your Tahoe property? Convenience. Safety. Respect for our wildlife.

Each week you roll, or carry out your garbage to the curb on your designated day, and then the local municipality hauls it away. So what makes this routine different Lake Tahoe? Why do you need a bear box?

Reason #1: Convenience If you have a bear box, you can put your garbage out at any time. If you don’t have a bear box, then you need to put your garbage out early on the morning of the same day as pick-up. No leaving it out the night before. Why? Because we don’t want the local bears, raccoons, coyotes, birds, or other wildlife to tear into our trash and spread it out all over the neighborhood. We limit out garbage exposure to just a few hours before we expect it to be picked up.

Reason #2: Practical Solution For second home owners without a bear box, they can either leave their trash in their homes and pray that a local bear doesn’t break into their home and destroy it looking for those tasty treats, or they can take it with them back home and dispose of it there. A bear box allows second home owners to put their trash out at any time without risk of a local animal getting into the trash and making a huge mess.

What does a bear box look like? The pictures here are of a typical bear box. They are normally made of metal, and can hold a couple of garbage cans inside. They range in price from $500 – $1,000. What makes a bear box unique? Notice there are no handles on the box. There is an Allen wrench (hex key) that is attached by a wire on the side of the box. This tool is placed in a small hole, twisted and the door opens. Once the garbage is inside the door is locked, and the tool removed. It’s important to remove the tool from the door as our local bears know how to turn a handle and open the doors.

Are all Tahoe property owners required to have a bear box? The answer is no. They are required to have one if they are going to do vacation rentals at the property. A Tahoe property owner can be required to install one if they’re garbage becomes a problem with local wildlife and more than two complaints are made. Lastly, if you get a building permit for your property, or you are going to build a new home, one of the conditions of your building permit will be to install a bear box if you don’t already have one on site.

Tahoe Buyer Tip: If the property you are considering buying doesn’t have a bear box on the property, you may be able to negotiate with the seller to install one, or get a credit to put one in after the close of escrow.

Investing in a bear box is worth the convenience it gives to a Tahoe property owner and it helps keep our bears and other wildlife safe by keeping them from getting into our garbage and causing a neighborhood problem.

Bear boxes – a value added feature in Tahoe Real Estate.

Thinking about making Lake Tahoe, California your second home? Check out the homes that are for sale in Lake Tahoe, California here:

Want to see what condos are for sale in Lake Tahoe? Here are the current listings:

For all of your Tahoe real estate needs –

Laura A. Allen | 530.414.1260 | Laura@TahoeLaura.com
BROKER ASSOCIATE, Tahoe Real Estate Agent
CalRE# 01473598
Coldwell Banker, Tahoe City, CA CalRE#01908304

All information is deemed reliable, but is subject to change, and/or correction without notice.

Tahoe Real Estate – What are Bear Boxes?