Luxury Trends 1st Quarter 2020 Tahoe/Truckee Market Report
DicksonLuxury.com
COVER PROPERTY FEATURED:
WELCOME TO OUR 1ST QUARTER 2020
15522 FOXBORO DRIVE JUNIPER HILLS $1,258,000
LUXURY HOME MARKET REPORT
MLS# 20200438
As you’ve come to expect quarterly, we’re highlighting the news and trends of luxury home sales in our region for the 1st three months of 2020. While sales remained brisk in this quarter, the real estate snapshot will look different for a while. Like many businesses, we’re leveraging technology tools to communicate and meet with people. You can still tour and view properties online and then, under safe conditions, see them in person. Our offices remain closed to the public, but all calls are answered. Our staff and agents are working remotely to provide you with the extraordinary service we’re so proud of. We’re not surprised by the number of people who are looking to either make a permanent move to our smaller community or buy the vacation home that will provide them a safe haven from more congested areas. Dickson Realty has weathered through challenging circumstances, recessions and hard times over the years. As your luxury home experts, we are all doing what is necessary to get us all through this unprecedented situation safely We pray for and send good vibes to our clients. Thank you for supporting us at Dickson Realty and please don’t hesitate to contact us if we can help in any way. Stay safe and healthy!
—Broker/Manager, Dickson Realty Truckee
Luxury Home Averages Over $1 Million January - March 2020 compared to January - March 2019
+5%
-14%
-3%
+16%
TOTAL UNITS SOLD
AVERAGE SOLD PRICE
AVERAGE PRICE PER SF
AVERAGE DAYS ON MARKET
2020: 42 2019: 40
2020: $2,264,620 2019: $2,636,075
2020: $697.00 2019: $719.00
2020: 149 2019: 128
Data Source: Tahoe Sierra Multiple Listing Service (TSMLS) as of March 31, 2020
Luxury Home Sales over $1 Million Truckee NUMBER OF SALES AVERAGE SALES $ HIGHEST SALE $
Alpine Meadows NUMBER OF SALES
42 $2,264,620 $9,500,000
NUMBER OF SALES
0
AVERAGE SALES $
$0
AVERAGE SALES $
HIGHEST SALE $
$0
HIGHEST SALE $
North Shore, Lake Tahoe, CA NUMBER OF SALES
Squaw Valley
NUMBER OF SALES
$2,996,833
AVERAGE SALES $
$2,357,285
HIGHEST SALE $
$7,619,000
HIGHEST SALE $
$7,150,000
6%
Active Listings Over $1 Million $5,000,000 and higher
$1,000,000– $1,999,999
66%
$3,000,000– $4,999,999
13%
$2,195,000
7
AVERAGE SALES $
$5,000,000 and higher
$1,718,571
West Shore, Lake Tahoe, CA
6
Sold Listings Over $1 Million
7
11%
$1,000,000– $1,999,999
56%
$3,000,000– $4,999,999
13%
$2,000,000$2,999,999
15%
$2,000,000$2,999,999
20% $1,000,000– 41 Sold Listings $1,999,999 $1,389,878 Average Price
$1,000,000– 84 Active Listings $1,999,999 $1,435,317 Average Price
$2,000,000– 9 Sold Listings $2,999,999 $2,346,666 Average Price
$2,000,000– 30 Active Listings $2,999,999 $2,525,099 Average Price
$3,000,000– 8 Sold Listings $4,999,999 $4,125,256 Average Price
$3,000,000– 20 Active Listings $4,999,999 $3,826,700 Average Price
$5,000,000 4 Sold Listings and higher $7,629,750Average Price
$5,000,000 16 Active Listings and higher $8,135,937 Average Price
127 Average Days On Market
185 Average Days On Market
165 Average Days On Market
178 Average Days On Market
137 Average Days On Market
179 Average Days On Market
277 Average Days On Market
286 Average Days On Market
Data Source: Tahoe Sierra Multiple Listing Service (TSMLS) as of March 31, 2020
Recent Dickson Sales
SOLD $2,600,000
Buyer Representation by Dickson Realty
SOLD $2,037,500
Seller Representation by Dickson Realty
SOLD $1,640,000
Seller Representation by Dickson Realty
SOLD $1,425,000
Buyer Representation by Dickson Realty
Northstar
Northstar
Grays Crossing
Donner Lake
SOLD $2,100,000
Buyer Representation by Dickson Realty
SOLD $1,650,000
Buyer Representation by Dickson Realty
SOLD $1,640,000
Buyer Representation by Dickson Realty
SOLD $1,415,000
Seller Representation by Dickson Realty
Donner Lake
Alpine Meadows
Grays Crossing
Tahoe Donner
Recent Dickson Sales
SOLD $1,340,000
Seller Representation by Dickson Realty
SOLD $1,200,000
Seller Representation by Dickson Realty
SOLD $1,110,000
Seller & Buyer Representation by Dickson Realty
SOLD $1,080,000
Seller Representation by Dickson Realty
Ponderosa Ranchos
Russell Valley
Tahoe Donner
Tahoe Donner
SOLD $1,300,000
Seller & Buyer Representation by Dickson Realty
SOLD $1,110,000
Seller Representation by Dickson Realty
SOLD $1,110,000
Seller & Buyer Representation by Dickson Realty
SOLD $1,025,000
Seller & Buyer Representation by Dickson Realty
Tahoe Donner
Tahoe Donner
Tahoe Donner
Northstar
Current Luxury Listings
$1,295,000
11471 Lucerne Lane MLS# 20200195
Tahoe Donner
$1,258,000
15522 Foxboro Drive MLS# 20200438
Juniper Hills
Coming Soon
$1,195,000
15691 Conifer Drive
Donner Lake
$1,100,000
12330 Snowpeak Way MLS# 20200608
Coming Soon
CALL FOR PRICING
6156 Beckwourth-Genesee Road
Beckwourth
MORE LUXURY LISTINGS COMING SOON
Tahoe Donner
Old Greenwood
January-March 2020 vs. 2019 Average vs. Median Average vs. Median Price
MEDIAN $
AVERAGE $
2020
2019
AVERAGE PRICE
$1,525,000
N/A
$0
FROM LAST YEAR
MEDIAN PRICE
$1,525,000
N/A
$0
FROM LAST YEAR
Average Days on Market vs. Units Sold 2020
2019
DAYS ON MARKET
N/A
FROM LAST YEAR
UNITS SOLD
N/A
FROM LAST YEAR
136
N/A
DAYS ON MARKET
2 UNITS SOLD
0
Gray’s Crossing
January-March 2020 vs. 2019 Average vs. Median Average vs. Median Price
MEDIAN $
AVERAGE $
2020
2019
AVERAGE PRICE
$1,322,500
N/A
$0
FROM LAST YEAR
MEDIAN PRICE
$1,320,000
N/A
$0
FROM LAST YEAR
Average Days on Market vs. Units Sold 2020
2019
DAYS ON MARKET
N/A
FROM LAST YEAR
UNITS SOLD
N/A
FROM LAST YEAR
126
N/A
DAYS ON MARKET
4
N/A
UNITS SOLD
Lahontan
January-March 2020 vs. 2019 Average vs. Median Average vs. Median Price AVERAGE $
2020 2018 2019
AVERAGE PRICE
-15.5%
$2,518,750 $2,981,000
FROM LAST YEAR
MEDIAN $
MEDIAN PRICE
-8.8%
$2,562,500 $2,810,000
FROM LAST YEAR
Average Days on Market vs. Units Sold 2020
2019
DAYS ON MARKET
-42%
FROM LAST YEAR
UNITS SOLD
-20%
FROM LAST YEAR
89
154
DAYS ON MARKET
4 UNITS SOLD
5
Schaffer’s Mill
January-March 2020 vs. 2019 Average vs. Median Average vs. Median Price AVERAGE $
2020 2018 2019
AVERAGE PRICE
+18.3%
$1,592,500 $1,345,800
FROM LAST YEAR
MEDIAN $
MEDIAN PRICE
23%
$1,592,500 $1,295,000
FROM LAST YEAR
Average Days on Market vs. Units Sold 2020
2019
DAYS ON MARKET
-96.5% FROM LAST YEAR
UNITS SOLD
-60% FROM LAST YEAR
2
58
DAYS ON MARKET
2 UNITS SOLD
5
Martis Camp
January-March 2020 vs. 2019 Average vs. Median Average vs. Median Price
MEDIAN $
AVERAGE $
2020
2019
AVERAGE PRICE
$4,657,705
-8.5%
$5,091,753
FROM LAST YEAR
MEDIAN PRICE
$4,181,025
-8.3%
$4,559,000
FROM LAST YEAR
Average Days on Market vs. Units Sold 2020
2019
DAYS ON MARKET
+53%
FROM LAST YEAR
UNITS SOLD
0%
FROM LAST YEAR
226
148
DAYS ON MARKET
10
10
UNITS SOLD
Northstar
January-March 2020 vs. 2019 Average vs. Median Average vs. Median Price
MEDIAN $
AVERAGE $
2020
2019
AVERAGE PRICE
$1,453,000
-23.2%
$1,890,875
FROM LAST YEAR
MEDIAN PRICE
$1,500,000
-18.3%
$1,835,000
FROM LAST YEAR
Average Days on Market vs. Units Sold 2020
2019
DAYS ON MARKET
-35%
FROM LAST YEAR
UNITS SOLD
+13%
FROM LAST YEAR
131
202
DAYS ON MARKET
9 UNITS SOLD
8
Squaw Valley-Alpine Meadows
January-March 2020 vs. 2019 Average vs. Median Average vs. Median Price
MEDIAN $
AVERAGE $
2020
2019
AVERAGE PRICE
$1,718,571
-14.8%
$2,017,250
FROM LAST YEAR
MEDIAN PRICE
$1,995,000
+24.7%
$1,567,500
FROM LAST YEAR
Average Days on Market vs. Units Sold 2020
2019
DAYS ON MARKET
+136% FROM LAST YEAR
UNITS SOLD
+75%
FROM LAST YEAR
208
88
DAYS ON MARKET
7 UNITS SOLD
4
Lake Tahoe – North Shore
January-March 2020 vs. 2019 Average vs. Median Average vs. Median Price
MEDIAN $
AVERAGE $
2020
2019
AVERAGE PRICE
$2,996,833
+26.2%
$2,375,000
FROM LAST YEAR
MEDIAN PRICE
$1,900,000
+20.6%
$1,575,000
FROM LAST YEAR
Average Days on Market vs. Units Sold 2020
2019
DAYS ON MARKET
-31%
FROM LAST YEAR
UNITS SOLD
+100% FROM LAST YEAR
104
151
DAYS ON MARKET
6 UNITS SOLD
3
Lake Tahoe – West Shore
January-March 2020 vs. 2019 Average vs. Median Average vs. Median Price
MEDIAN $
AVERAGE $
2020
2019
AVERAGE PRICE
$2,357,285
-73.8%
$8,982,400
FROM LAST YEAR
MEDIAN PRICE
$1,525,000
-23.8%
$2,000,000
FROM LAST YEAR
Average Days on Market vs. Units Sold 2020
2019
DAYS ON MARKET
-11%
FROM LAST YEAR
UNITS SOLD
+40% FROM LAST YEAR
80
90
DAYS ON MARKET
7 UNITS SOLD
5
Tahoe Donner
January-March 2020 vs. 2019 Average vs. Median Average vs. Median Price
MEDIAN $
AVERAGE $
2020
2019
AVERAGE PRICE
$1,191,666
-6.6%
$1,276,333
FROM LAST YEAR
MEDIAN PRICE
$1,150,000
-14.7%
$1,347,500
FROM LAST YEAR
Average Days on Market vs. Units Sold 2020
2019
DAYS ON MARKET
+186% FROM LAST YEAR
UNITS SOLD
0%
FROM LAST YEAR
123
43
DAYS ON MARKET
6 UNITS SOLD
6
BERLIN, GERMANY | €18,900,000
The Great Wellness Surge The world of affluence and wealth continues its healthy growth worldwide. Estimates from the Credit Suisse global wealth report indicate there are more than 45 million individuals with a net worth exceeding $1 million USD and the total value of their personal wealth is north
of $360 trillion USD. Both are record highs and exceed benchmark growth rates in population and wealth creation. In short, there has never been a larger market of potential luxury homebuyers available.
GLOBAL PERSONAL WEALTH1
50
$400
45
$350
40
$300
35 30
$250
25
$200
20
$150
15
$100
10 5
$50
0
$0 2010
2011
2012
2013
2014
2015
2016
2017
2018
Value of Wealth (USD Trillions)
HNW Individuals (Millions of Adults)
HNW Individuals | Personal Wealth
2019
Credit Suisse Global Wealth Report 2019
1
Despite the financial health of the affluent, there are challenges for the luxury property market to overcome. Buyers face the possibility of economic or political instability, evolving tax structures and climate-related purchase considerations. Beyond these evergreen challenges, novel issues like the Coronavirus (COVID-19) have impacted market activity in China and across all luxury sectors including technology, travel, manufacturing, luxury retail and more. What is the response to these outsized trends? In a word—wellness. Of luxury homeowners, 48% are tuning out the noise of the world, while 72% say wellness is important because it contributes to their overall happiness. Each year Luxury Portfolio InternationalŽ and YouGov Affluent Perspective delve into the trends, habits and opinions of luxury homeowners around the world to understand what motivates them today. This report covers the trends shaping how homeowners view wellness in their life. Wellness is a growing trend among affluent consumers overall, and specifically among the next generation of buyers, and is estimated to be a $4.2 trillion USD industry worldwide, growing at twice the rate of the global economy.2
2
As wellness shapes decisions made on a daily basis, real estate professionals can expect that these same sensibilities will be incorporated into one of the most important purchases someone makes—their home.
1 Wellness is central to a life well-lived 2 Home wellness is in growing demand
Global Wellness Institute, Global Wellness Economy Monitor, October 2018
Article and images used with permission from Luxury Portfolio International. For more info, visit www.LuxuryPortfolio.com/blog
Trend #1: Wellness is central to a life well-lived Over 90% of luxury homeowners say their overall personal wellness is very important. Luxury brands have caught on to the trend with wellness-focused spas, travel/tourism, and even in the workplace. Check out the top social media sites and you will find millions of posts tagged with #relax, #selfcare and #liveyourbestlife used
regularly. Google indexes over two million podcasts with thousands of them focused on health and well-being. Luxury homeowners are thick in this trend with 78% using social media and 42% listening to podcasts, giving them a direct line to experts honing in on what they care about most. HOW IMPORTANT IS YOUR OVERALL PERSONAL WELLNESS? Extremely Important
9% 31%
Very Important
60%
Somewhat/Not Very/ Not at All Important
Globally, affluent consumers are focusing on wellness as a way to build fulfillment and happiness in their life. After so much effort in striving, chasing, and working toward success, they find they need ways to build up their own resilience. For Westerners, this can mean maintaining
their health as they grow older and not being a burden on their children. For those in Asia-Pacific, wellness is a path to high performance, and it leads to comparative advantage in a competitive working environment.
WHY IS WELLNESS IMPORTANT TO YOU? BY REGION North America | Europe | Asia-Pacific | Latin America 84% 77% 69% 70%
63%
70%
67% 51%
65%
61%
55% 48%
56% 42%
56% 39%
44% 43%
53% 42%
41% 42%
39%
32%
It contributes to my overall happiness
I want to feel good as I grow older
It helps me perform at my best throughout the day
I do not want to be a burden to my family in the future
It sets a good example for my children
It will prevent unnecessary healthrelated expenses in the future
INSIGHT: Wellness has become a feature of the culture. A life well-lived is the goal. Taking care of the mind, body and soul are essential ways to spend their precious time. It builds internal strength and forms tighter bonds with those they care about most. Wellness activities often require daily practice, making the home the ideal focal point for most consumers.
Article and images used with permission from Luxury Portfolio International. For more info, visit www.LuxuryPortfolio.com/blog
Trend #2: Home wellness is in growing demand projects in the pipeline worldwide as of 2017 there is certainly appetite at the consumer end.
Projections by the Global Wellness Institute show Wellness Real Estate3 is growing faster than other aspects of wellness investment. With 740 residential
PROJECTED AVERAGE ANNUAL GROWTH RATE 2017–2022
8.0%
7.5% 6.7%
Wellness Real Estate
Wellness Tourism
Workplace Wellness
6.5%
6.4%
Thermal/Mineral Springs Wellness
Spa Facilities
Since it is early in the trend for Wellness Real Estate, new ways of meeting this desire are emerging all the time. Wellness at home can be found, for example, with specific kitchen elements* for the management of dietary preferences (e.g., temperature and humidity controlled cabinets, cellar-like storage for root vegetables, apples and other fall harvest produce), meditation spaces, exercise rooms, home spas or saunas, special lighting features for sleep hygiene, air and water filtration and more.
Urban mixed-use areas are particularly benefitting from the Wellness Real Estate boom, especially those catering to younger consumers who are even more interested in focusing on their wellness. This fits perfectly with Millennials, who are keen to have an urban life free from hassles (for example, 47% agree they can see themselves not owning a car one day). Changing work styles from in-office to remote also promotes less need for permanently owned mobility and an increased need for self-care at home.
Wellness Real Estate includes both residential and commercial/institutional developments (such as masterplanned communities, multi-family housing, urban districts and mixed-use projects, resort and spa-based real estate and others). These developments include elements of wellness in design, materials, and building in addition to amenities, services and activities.
At the same time, older Baby Boomers also benefit from the Wellness Real Estate trend as their needs change and downsizing become a priority. Downsizing to a socially-focused community offers the appealing option of an easy way to stay in touch with a community. By being near others it builds up social wellness, which 34% report is a focus in their lives.
* Learn more about the wellness kitchen in LPI Magazine — Vol. 9, Issue 2 3 Global Wellness Institute, Global Wellness Economy Monitor, October 2018
Article and images used with permission from Luxury Portfolio International. For more info, visit www.LuxuryPortfolio.com/blog
LA QUINTA, CALIFORNIA, USA | $2,850,000
ELEMENTS OF PERSONAL WELLNESS ARE A FOCUS IN YOUR LIFE Millennials (23–40) | Gen X (41–54) | Baby Boomers (55–73)
71%
77% 79%
70% 68%
60%
54%
50%
54%
56%
49% 47% 34%
Physical Wellness
Emotional Wellness
Intellectual Wellness
Social Wellness
38%
33%
Spiritual Wellness
INSIGHT: New ways of working and living are contributing to the way affluent consumers think about their home environment. Home choices are becoming more complex as this new factor of wellness becomes available in the very places they live. Experts say convenience and accessibility are valuable components for an effective wellness program.
Article and images used with permission from Luxury Portfolio International. For more info, visit www.LuxuryPortfolio.com/blog
TRUCKEE 530.587.7444 DOWNTOWN RENO 775.324.7000
CAUGHLIN RANCH 775.746.7000
PORTOLA 530.832.1700 DAMONTE RANCH 775.850.7000
NORTHSTAR 530.562.1140 SOMERSETT 775.746.7222
MONTRÊUX 775.849.9444
SPARKS 775.685.8800
DicksonLuxury.com | luxury@dicksonrealty.com
© 2020 Dickson Realty. All rights reserved. Although the information above is deemed reliable, Dickson Realty does not guarantee its accuracy. If your property is currently listed for sale, this is not intended to be a solicitation.