Reno-Tahoe Real Estate Trends - September, 2011
After reviewing market activity for sales volume and prices for August, 2011, all markets (Tahoe excluded) are following the same trend - sales volume is markedly up from one year ago and median price is consistently down from one year ago. In a simple world, the increase in sales volume would begin to impact inventory and prices would stabilize and eventually begin to rise. Due to the high volume of distressed homes being sold (most markets in the 50-70% range of total sales), and a steady stream of new foreclosure and short sale listings, median price continues to be under downward pressure. Below is a short summary by market. Full details are in The Greater Reno-Tahoe Real Estate Report.
- Reno - During August, home sales were up 29% from August, 2010 - 367 homes sold. August's median sold home price was $155,000 - an 17% drop from August, 2010. Reno Months of Inventory for September is at 8.0 months - 4% higher than September, 2010.
- Sparks - Sparks homes sold in August totaled 173 (up 9% from one year ago August sales); median home price equals $150,000 - 7% lower than the Sparks median home price one year ago. Months of Inventory for Sparks is at 6.5 months, 7% higher than September, 2010.
- Carson City - There were 51 homes sold during August which represents an 82% incrase from August, 2010. Carson City's median home price was $150,000 in August - down 24% from prices a year ago. At 8.9 Months of Inventory, Carson City's key metric of buy/seller market is down 14% from one year ago but still above the 5-7 months range to achieve price stability.
- Carson Valley - Homes sold in August 2011 totaled 74 - a 124% increase over August, 2010. The large increase intrigued me so I went back to see the last time there were this many sales in a month... in September, 2005 there were 78 homes sold in this area! The Carson Valley median home price at $187,500 is 15% below August, 2010. At 9.6 Months of Inventory (down 8% from the same time one year ago), this market, like Carson City, will remain in 'buyer market' territory for a while longer than other local markets. Of course, if home sales continue at this pace, we should expect the Months of Inventory to quickly move into the 5-7 month range.
- Lake Tahoe - With 9 homes sold in August, the Tahoe market (Douglas county only) was 18% lower than the August, 2010 sales volume. Months of Inventory, at 20.2 months, is 1% higher than September, 2010. The median home price was $425,000. Due to the small sampling size of homes sold and the wide range of home prices at Lake Tahoe, the median price shows wide fluctuation on a monthly basis.
- Dayton - Dayton home sales in August, 2011 totaled 27 homes - 13% more than what sold in August, 2010. Months of Inventory is 7.3 months - 3% lower than one year ago. Median home price, at $99,900, is down 23% from one year ago and sets a new low water mark after the Dayton median home price hit $102.9K in July, 2011.
- Fernley - The median home price for Fernley in August, 2011 was $102,000 - a 3% decrease over the median Fernley home price in August, 2010. Fernley saw 42 homes sold representing a 45% increase over August, 2010. Months of Inventory is at 6.4 months which is the lowest in the region.
To see the charts and tables behind this summary, subscribe to The Greater Reno-Tahoe Real Estate Report, sign up here to see a lot more detail and get a notice each month when the report is updated.
Broker - CalNeva Realty