Tahoe Real Estate: What determines Lakefront Property Value?
In every market there are always those properties that people always say “If I had the money….” In the Tahoe market that comment is almost always said about a Tahoe lakefront property.
Even in the most elite group of Tahoe lakefront properties some are more desirable than others. A common question I’m asked by Tahoe home buyers is “What factors create a Tahoe Lakefront Propertys’ Value?”
Tahoe Real Estate: What determines the value of a Lakefront Property?
Here are some of the lakefront/waterfront features that help determine the value of a Tahoe lakefront property:
Condition of the House – A luxury lakefront house will always add value over the tear-down, smaller, older Tahoe home that needs a lot of work and is lacking the new-home finishing features and details Lake Tahoe home buyers are looking to buy.
Lakefront footage: How many feet of Lake Tahoe shoreline come with the property? A property with only 25’ of Lake Tahoe frontage most likely will not be as valuable as one with 150’. Lakefront footage can often determine what lakefront amenities (permitted) a property owner can have on it.
Caution: Some Tahoe properties appear to be lakefront in their setting when in fact they are not. Often these lakefront appearing properties front a paper street (a public street that was never developed)/public land.
These properties have the lakefront setting, but are often not entitled to the lakefront amenities that a true lakefront owner can have and are known as “Beachfront Homes”.
Size of the lot: Size does matter. In the Tahoe market, the size of a lot can have a significant impact on how big of a home can be on the property. A smaller 0.25 acre lot most likely will not be as valuable as a 1.5 acre lot, or a 7 acre estate.
Location: Location, location, location will always influence value! A large, one-of-a-kind lakefront estate with acreage compared to a lakefront home on the main road can mean the difference in tens of millions of dollars.
West Shore or North Shore: Do you want to be on the North Shore of Lake Tahoe, or the West Shore of Lake Tahoe? Does the driving distance to the local ski resorts matter to you?
Where you want to be is the place to be, but an experienced Tahoe real estate agent knows what neighborhoods carry that extra market premium and which ones do not. They also know that if you want to ski at Northstar being located down on the West Shore is probably not the best match for you.
Distance to the Shoreline of Lake Tahoe – Some Lake Tahoe lakefronts are perched on a cliff-like setting with a number of steps to get down to the beach/lake area. Depending on the buyers’ preference, properties with fewer steps to Lake Tahoe tend to carry a market premium.
Shallow or Deep Water – Depending on the location of the property, some Lake Tahoe piers will become dry-docks in low-water years. A deep water pier offers the best opportunity for continued use despite lake water levels. This feature adds value.
Lakefront Amenities – Pier & Buoys: A Tahoe lakefront property that has an existing pier, private pier, shared pier, buoy(s), boathouse, lifts/hoists, or swim platform that have been permitted with California State Lands and the Tahoe Regional Planning Agency (TRPA) will add significant value to the property. Each one of these features, or not having them, can add, or take value away significant value from a lakefront property.
Determining the value of a Tahoe lakefront property is a combination of key property features, lakefront home condition, waterfront amenities, along with the location, current market demand, and current market conditions.
The value of a Tahoe Lakefront property is more than just the condition of the house it is a combination of many important factors.
Check out what lakefront properties are for sale here:
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Do you want to learn more about the different neighborhoods, locations, developments and their amenities, HOA fees and the ones that will best meet your needs?
Call me at 530.414.1260 and I can help you find the right place to buy!
Overview and summary completed by:
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.
Buyers and Sellers should investigate and verify all information to their own satisfaction.
Tahoe Real Estate: What determines Lakefront Property Value?
