Here is a quick update for Minden and Gardnerville NV real estate market statistics as of February 1, 2008. The numbers I am reporting on here are actually for the entire Carson Valley which also includes Genoa and a small area referred to as Topaz Ranch Estates. (The Topaz Ranch Estates impact is negligible due to the fact that I am not tracking manufactured homes which make up 90% of this market; also, the town of Genoa is a very small market (almost like a few neighborhoods) so this market will not have great impact on the housing market conditions being reported)
Minden/Gardnerville Real Estate Market?
Buyers Market. Period. Current Months of Inventory on the market is 13.4 months. This represents a fairly modest 9% increase over the Months of Inventory in February, 2007. Any increase at all, however, is not great news for home sellers. Considering a Months of Inventory range of 4 to 6 months would represent a "balanced market", this market has a fair amount of inventory to burn off which will take some time with the current slower home sales. To learn more about how Months of Inventory is calculated, check out The Greater Reno-Tahoe Real Estate Report. You can read up on this metric (which is much more reliable than days on market) and subscribe for free if you want to receive monthly updates.
Minden/Gardnerville Real Estate Sales
One contributing factor to the prolonged Minden/Gardnerville buyer market is the slower number of homes sales. With the recent report about California home sales hitting a 20 year low, we feel this trend locally as the California transplant represents a major force driving Minden/Gardnerville home sales. So what are the numbers? In January, 2008 there were 23 homes sold. This represents a 48% decline from January 2007 when 44 homes were sold. Minden/Gardnerville home buyers are patient and picky - only those homes representing a solid value proposition are being pursued.
Minden/Gardnerville Real Estate Prices
Increased Inventory. Lower Demand. Economics 101 tells you there is downward pressure on prices. The Minden/Gardnerville median home price in January 2008 was $315,000 - down 17% from January 2007 but up from a recent price trough of $281,000 in December, 2007. With continued downward pressure on pricing, many home buyers are making aggressive offers and, if not accepted, happy to sit on the sidelines and watch.
Perhaps one saving grace in the Minden/Gardnerville real estate market is the relative low number of bank foreclosure and short sale properties on the market. I have been tracking this growing market segment closely. The Minden/Gardnerville market probably represents less than 5% of the regional foreclosure activity which would include all nearby markets in the Reno-Tahoe area. Last weekend I was helping a home buyer in South Reno and 9 of the 13 homes we previewed were either foreclosure or short sale listings.
Your "Take Away"
Current home buyers: make sure you are buying below recent comparable sales to protect your potential for near term equity erosion. Current home sellers: if you are serious about selling, price aggressively or you may find yourself chasing the market for a while.
All statistics referenced in this post are for "stick built" homes (no condos, land, manufactured homes) and is sourced from the Northern Nevada Regional MLS (NNRMLS).
Broker - CalNeva Realty