Luxury Trends 1st Quarter 2022 Tahoe/Truckee Market Report
uESCROWuINuONEuWEEK! 40,000 over asking price
11602 Bennett Flat Road $2,495,000 Tahoe Donner DicksonLuxury.com
WELCOME TO OUR 1ST QUARTER 2022
COVER PROPERTY FEATURED
11602 BENNETT FLAT ROAD TAHOE DONNER
LUXURY HOME MARKET REPORT
It’s hard to believe that it’s now two years since our world seemingly turned upside down with COVID. Many lives were lost, many lives were disrupted, and many questioned over the ensuing weeks and months how life could move on from this pandemic. As mentioned in earlier reports, those of us in the real estate world saw an unprecedented influx of buyers come to the Truckee-Tahoe area, seeking an environment that provided for a slower lifestyle in our beautiful Sierra Nevada mountains. The magnitude of buyers entering our markets caused a shortage of available inventory which continues to this day. During the first quarter of 2021, 231 homes listed at $1M+ came on the market whereas during the first quarter of this year, only 187 homes were listed. Pre-pandemic levels were quite a bit lower, with only 110 homes being listed in the first quarter of 2020. The average price for homes at $1M+ in the first quarter of this year was $2,642,420, a 26% increase over the same period in 2020, pre-pandemic, when the average price was $2,102,906. Average sales prices were up just 7% this quarter versus one year ago, although the average cost per square foot increased by 12%, a further indication of issues with supply shortages, increased supply costs as well as labor costs. In the Town of Truckee, we are told that building permits are taking up to 6+ months to obtain, mostly due to staff shortages. Our team of Dickson Realty Luxury Specialists are here, as always, to provide you with competent expertise in this market area. We will work hard for you to achieve the most positive outcome whether you are buying or selling. And we look for 2022 to be another extraordinary year! —Broker/Manager, Dickson Realty Truckee
Luxury Home Averages Over $1 Million January - March 2022 compared to January - March 2021
-2%
+7%
+12%
-23%
TOTAL UNITS SOLD
AVERAGE SOLD PRICE
AVERAGE PRICE PER SF
AVERAGE DAYS ON MARKET
2022: 147 2021: 150
2022: $2,858,268 2021: $2,667,143
2022: $972 2021: $870
2022: 47 2021: 61
Data Source: Tahoe Sierra Multiple Listing Service (TSMLS) as of April 12th, 2022
Luxury Home Sales over $1 Million Truckee NUMBER OF SALES
Palisades Tahoe NUMBER OF SALES
96
AVERAGE SALES $
$2,994,312
AVERAGE SALES $
HIGHEST SALE $
$13,000,000
HIGHEST SALE $
North Shore, Lake Tahoe, CA NUMBER OF SALES AVERAGE SALES $ HIGHEST SALE $
NUMBER OF SALES AVERAGE SALES $
$23,650,000
HIGHEST SALE $
Sold Listings Over $1 Million 12%
13%
$1,898,071 $4,200,000
$1,000,000– $1,999,999
38%
$3,000,000– $4,999,999
25%
$2,000,000$2,999,999
14%
14
$5,000,000 and higher
14%
$5,950,000
Active Listings Over $1 Million
$5,000,000 and higher $3,000,000– $4,999,999
$2,513,953
West Shore, Lake Tahoe, CA
17 $3,157,117
11
$1,000,000– $1,999,999
$2,000,000$2,999,999
60% $1,000,000– 89 Sold Listings $1,999,999 $1,441,570 Average Price
$1,000,000– 28 Active Listings $1,999,999 $1,508,571 Average Price
$2,000,000– 21 Sold Listings $2,999,999 $2,504,963 Average Price
$2,000,000– 18Active Listings $2,999,999 $2,434,611 Average Price
$3,000,000– 20 Sold Listings $4,999,999 $3,801,075 Average Price
$3,000,000– 19 Active Listings $4,999,999 $3,905,500 Average Price
$5,000,000 17 Sold Listings and higher $9,602,352 Average Price
$5,000,000 10 Active Listings and higher $11,710,900 Average Price
42 Average Days On Market
56 Average Days On Market
63 Average Days On Market
61 Average Days On Market
24%
69 Average Days On Market
31 Average Days On Market
72 Average Days On Market
149 Average Days On Market
Data Source: Tahoe Sierra Multiple Listing Service (TSMLS) as of April 12th, 2022
Recent Dickson Sales
$4,190,000
Seller Representation by Dickson Realty
$2,750,000
Buyer Representation by Dickson Realty
$2,210,000
Buyer Representation by Dickson Realty
$3,100,000
Donner Lake
Seller Representation by Dickson Realty
Tahoe Donner
Seller Representation by Dickson Realty
Tahoe Donner
Buyer Representation by Dickson Realty
$2,510,000
$2,200,000
Lahontan
Tahoe Donner
Tahoe Donner
Recent Dickson Sales
$2,155,000
Seller Representation by Dickson Realty
$1,945,000
Tahoe Donner
$2,000,000
Buyer & Seller Representation by Dickson Realty
$1,625,000
Northstar
Buyer Representation by Dickson Realty
Seller Representation by Dickson Realty Truckee Business Park
Buyer Representation by Dickson Realty
Buyer & Seller Representation by Dickson Realty
$1,600,000
$1,575,000
Tahoe Donner
Tahoe Donner
Tahoe Donner
Recent Dickson Sales
$1,535,000
Seller Representation by Dickson Realty
$1,485000
Buyer Representation by Dickson Realty
$1,425,000
Seller Representation by Dickson Realty
Grays Crossing
$1,500,000
Seller Representation by Dickson Realty
Northstar
$1,455,000
Tahoe Donner
Buyer & Seller Representation by Dickson Realty Prosser Heights
Tahoe Donner
Seller Representation by Dickson Realty
$1,400,000
Tahoe Donner
Recent Dickson Sales
$1,400,000
Buyer & Seller Representation by Dickson Realty
$1,375,000
Buyer Representation by Dickson Realty
$1,325,000
Seller Representation by Dickson Realty
Northstar
Tahoe Donner
Tahoe Donner
$1,395,000
Buyer Representation by Dickson Realty
$1,375,000
Buyer Representation by Dickson Realty
$1,315,000
Seller Representation by Dickson Realty
Tahoe Donner
Glenshire
Tahoe Donner
Recent Dickson Sales
$1,300,000
Buyer Representation by Dickson Realty
$1,300,000
Seller Representation by Dickson Realty
$1,250,000
Seller Representation by Dickson Realty
Northstar
Tahoe Donner
Prosser Lakeview
$1,300,000
Seller Representation by Dickson Realty
$1,258,000
Seller Representation by Dickson Realty
$1,250,000
Buyer & Seller Representation by Dickson Realty
Northstar
Tahoe Donner
Donner Lake
Current Luxury Listings In Escrow
$7,000,000
Rue Ivy MLS# 20202885
Truckee
$2,495,000
11602 Bennet Flat Road MLS# 20220615
Tahoe Donner
In Escrow
$1,995,000
12326 Greenleaf Way MLS# 20220410
Tahoe Donner
In Escrow
$1,475,000
11747 Kitzbuhel Road MLS# 20220407
14666 Christie Lane MLS# 20220580
Glenshire Drive MLS# 20220005
Glenshire
In Escrow
Tahoe Donner
In Escrow
$1,200,000
$1,800,000
$1,300,000
14657 Tyrol Road MLS# 20220406
Tahoe Donner
In Escrow
Tahoe Donner
$1,050,000
15623 Glenshire Drive MLS# 20220206
Glenshire
Old Greenwood
January-March 2022 vs. 2021 Average vs. Median Average vs. Median Price
MEDIAN $
AVERAGE $
2022
2021
AVERAGE PRICE
$1,903,750
-12.4%
$2,172,500
FROM LAST YEAR
MEDIAN PRICE
$1,675,000
-22.9%
$2,172,500
FROM LAST YEAR
Average Days on Market vs. Units Sold 2022
2021
DAYS ON MARKET
+367% FROM LAST YEAR
UNITS SOLD
+100% FROM LAST YEAR
14
3
DAYS ON MARKET
4 UNITS SOLD
2
Gray’s Crossing
January- March 2022 vs. 2021 Average vs. Median Average vs. Median Price
MEDIAN $
AVERAGE $
2022
2021
AVERAGE PRICE
$2,676,440
+33.6%
$2,002,933
FROM LAST YEAR
MEDIAN PRICE
$2,700,000
+35.8%
$1,988,800
FROM LAST YEAR
Average Days on Market vs. Units Sold 2022
2021
DAYS ON MARKET
-56%
FROM LAST YEAR
UNITS SOLD
+67%
FROM LAST YEAR
17
39
DAYS ON MARKET
5
UNITS SOLD
3
Lahontan
January-March 2022 vs. 2021 Average vs. Median Average vs. Median Price AVERAGE $
2022 2018 2021
AVERAGE PRICE
+16.6%
$3,835,169 $3,288,333
FROM LAST YEAR
MEDIAN $
MEDIAN PRICE
+18.2%
$3,725,000 $3,152,500
FROM LAST YEAR
Average Days on Market vs. Units Sold 2022
2021
DAYS ON MARKET
+6%
FROM LAST YEAR
UNITS SOLD
+50% FROM LAST YEAR
57
54
DAYS ON MARKET
9 UNITS SOLD
6
Schaffer’s Mill
January-March 2022 vs. 2021 Average vs. Median Average vs. Median Price AVERAGE $
2022 2018 2021
AVERAGE PRICE
+24.5%
$2,398,800 $1,927,083
FROM LAST YEAR
MEDIAN $
MEDIAN PRICE
+9.8%
$2,050,000 $1,866,750
FROM LAST YEAR
Average Days on Market vs. Units Sold 2022
2021
DAYS ON MARKET
+138% FROM LAST YEAR
UNITS SOLD
-17%
FROM LAST YEAR
88
37
DAYS ON MARKET
5 UNITS SOLD
6
Martis Camp
January-March 2022 vs. 2021 Average vs. Median Average vs. Median Price
MEDIAN $
AVERAGE $
2022
2021
AVERAGE PRICE
$9,861,666
+45.9%
$6,758,333
FROM LAST YEAR
MEDIAN PRICE
$10,435,000
+85.9%
$5,612,500
FROM LAST YEAR
Average Days on Market vs. Units Sold 2022
2021
DAYS ON MARKET
-4%
FROM LAST YEAR
UNITS SOLD
-33% FROM LAST YEAR
51
53
DAYS ON MARKET
12 UNITS SOLD
18
Northstar
January-March 2022 vs. 2021 Average vs. Median Average vs. Median Price
MEDIAN $
AVERAGE $
2022
2021
AVERAGE PRICE
$1,979,714
-15.2%
$2,335,221
FROM LAST YEAR
MEDIAN PRICE
$1,522,500
-21%
$1,964,169
FROM LAST YEAR
Average Days on Market vs. Units Sold 2022
2021
DAYS ON MARKET
-34%
FROM LAST YEAR
UNITS SOLD
-13%
FROM LAST YEAR
72
109
DAYS ON MARKET
14
16
UNITS SOLD
Palisades Tahoe
January-March 2022 vs. 2021 Average vs. Median Average vs. Median Price
MEDIAN $
AVERAGE $
2022
2021
AVERAGE PRICE
$2,513,953
+28.2%
$1,960,890
FROM LAST YEAR
MEDIAN PRICE
$2,207,500
+26.4%
$1,747,000
FROM LAST YEAR
Average Days on Market vs. Units Sold 2022
2021
DAYS ON MARKET
-26%
FROM LAST YEAR
UNITS SOLD
-8%
FROM LAST YEAR
77
104
DAYS ON MARKET
11 UNITS SOLD
12
Lake Tahoe – North Shore
January-March 2022 vs. 2021 Average vs. Median Average vs. Median Price
MEDIAN $
AVERAGE $
2022
2021
AVERAGE PRICE
$3,157,117
+74.3%
$1,811,032
FROM LAST YEAR
MEDIAN PRICE
$1,690,000
+4.3%
$1,620,000
FROM LAST YEAR
Average Days on Market vs. Units Sold 2022
2021
DAYS ON MARKET
-20%
FROM LAST YEAR
UNITS SOLD
-26%
FROM LAST YEAR
44
55
DAYS ON MARKET
17
23
UNITS SOLD
Lake Tahoe – West Shore
January-March 2022 vs. 2021 Average vs. Median Average vs. Median Price
MEDIAN $
AVERAGE $
2022
2021
AVERAGE PRICE
$1,898,071
-45.2%
$3,463,250
FROM LAST YEAR
MEDIAN PRICE
$1,541,000
-7.9%
$1,672,500
FROM LAST YEAR
Average Days on Market vs. Units Sold 2022
2021
DAYS ON MARKET
-40% FROM LAST YEAR
UNITS SOLD
-30%
FROM LAST YEAR
50
84
DAYS ON MARKET
14
20
UNITS SOLD
Tahoe Donner
January-March 2022 vs. 2021 Average vs. Median Average vs. Median Price
MEDIAN $
AVERAGE $
2022
2021
AVERAGE PRICE
$1,579,802
+21.3%
$1,302,802
FROM LAST YEAR
MEDIAN PRICE
$1,375,000
+6.8%
$1,287,500
FROM LAST YEAR
Average Days on Market vs. Units Sold 2022
2021
DAYS ON MARKET
+22%
FROM LAST YEAR
UNITS SOLD
+41%
FROM LAST YEAR
22
18
DAYS ON MARKET
31
22
UNITS SOLD
Buyer Trends in 2022
Welcome in a New Class of Entry-level Luxury Buyers Across the full spectrum of affluent consumers, there is greater interest in purchasing real estate under USD $1 million. This signals a resurgence of upper-middle class buyers either those who were delayed in purchasing last year, or who are now willing and able to acquire. Consequently, this is creating a modest increase in the number of entry-level luxury buyers, up to 44 percent from 39 percent in the USD $1–1.9MM range. All told, the year-on-year budget level is stable within luxury, at a median price of USD $2.25 million. This democratic luxury-for-the-many effect is most pronounced in North America and less so in Asia Pacific and Europe/Middle East, where the wealthy class tends to skew toward relatively small groups of people with very high concentrations of wealth. Price Range for Next Home | In the Market Next Three Years TOTAL AFFLUENT
LUXURY BUYERS
2021 SURVEY
2022 SURVEY
2021 SURVEY
2022 SURVEY
ASIA PACIFIC
NORTH AMERICA
EUROPE/ MIDDLE EAST
Under USD $500K
11%
19%
—
—
—
—
—
$500K under $999K
23%
34%
—
—
—
—
—
$1MM to $1.9MM
26%
21%
39%
44%
39%
57%
37%
$2MM to $2.9MM
15%
8%
23%
18%
22%
11%
21%
$3MM to $4.9MM
11%
6%
17%
12%
15%
10%
12%
$5MM to $9.9MM
10%
8%
15%
17%
14%
14%
24%
$10MM or more
5%
4%
7%
8%
10%
8%
7%
Average
2.6MM
2.2MM
3.6MM
3.8MM
3.8MM
3.4MM
4.1MM
Median
1.75MM $1.25MM 2.25MM 2.25MM
2.25MM
1.75MM
2.25MM
Average square feet3
—
2,973
—
3,670
3,427
3,904
3,710
Average price per sf4
—
$420
—
$613
$657
$448
$606
3 4
sked in categories in both square feet and square meters. Median values between categories used to calculate average size. A Average price per square foot is calculated as median price point divided by median square feet
© 2022 Luxury Portfolio International. ® All rights reserved. Unauthorized use of this members-only document is prohibited.
Buyer Trends in 2022
Single-family Homes Surge in Popularity The thoroughly North American single-family home is branching out across the globe, as 40 percent of Europe/Middle East buyers and 29 percent of Asia-Pacific buyers are seeking the luxury of additional space and privacy. Year on year, demand for this type of housing is increasing as, collectively, shared living spaces are becoming less attractive to the luxury buyer. North America remains the top driver for demand of this type of residence. Type of Residence Expect to Buy | LUXURY BUYERS
Buyer Insight: Space makes the difference these days. Space from neighbors, space in the home, and space outside.
Percent Selected, Global g 2021 SURVEY g 2022 SURVEY
37% 44%
17% 17%
18% 17%
18% 16%
10% 7%
SINGLE-FAMILY HOME
CONDO/ APARTMENT
TOWNHOUSE
HIGH-RISE PENTHOUSE
HOTEL RESORT RESIDENCE
7% Percent Selected, by Region g SINGLE-FAMILY HOME g CONDO/APT g TOWNHOUSE g PENTHOUSE g HOTEL/RESORT RESIDENCE
20% 23% 20%
10% 11% 11%
5% 17% 15% 19%
62%
29% ASIA PACIFIC
8%
NORTH AMERICA
© 2022 Luxury Portfolio International. ® All rights reserved. Unauthorized use of this members-only document is prohibited.
40% EUROPE/MIDDLE EAST
Buyer Trends in 2022
Buyer Insight: The trend toward a sustainable home is strongest with the luxury buyer, however non-luxury buyers are also invested in this concept. The fact that affluent consumers globally are leaning into the trend suggests it will be with us for the long haul.
What are Your Views On Environmental Sustainability? | LUXURY BUYERS
Percent Selected, Sustainability Actions Are…
Percent Selected, Willing To Pay... For Sustainability Features I Care About g g g g
g CRITICALLY IMPORTANT g GOOD BUT DO NOT NEED MAJOR CHANGES
g NOT NECESSARY AT ALL g NOT SURE
PAY MORE
PAY LESS PAY THE SAME NOT SURE
3%
2% 9% 36%
23% 66%
50% 11%
Sustainability: Critically Important and Worth Paying to Get Luxury home buyers demonstrate their commitment to environmental sustainability in their opinions and actions. Nearly 90 percent believe taking steps toward sustainability is worth doing, and 50 percent are willing to pay more for the features they care about. This trend is evident in residential real estate as well as other luxury durables like automobiles, electronics, and apparel. Even luxury consumables like travel, food and beverage, and services are working hard at doing good while also being good.
© 2022 Luxury Portfolio International. ® All rights reserved. Unauthorized use of this members-only document is prohibited.
Buyer Trends in 2022
Sustainable Home Design Elements Favor Technology, Materials Smart home automation and related technologies, efficient designs, appliances and building materials are the most in-demand aspects of sustainable home design. This speaks to not only the foundational elements of the home, but also the design sensibility toward technology and efficiency. Buyers from Asia Pacific show a higher-thanusual interest in Solar panels, and the use of non-toxic materials in the home. North America leans toward organic living, that is having a vegetable garden or orchard and composting on property. In Europe/Middle East, the luxury buyer is interested in locally sourced materials whenever possible. While this speaks specifically to design elements, the sense is that it would also pertain to art and style elements as well. Which of These Sustainable Home Design Elements, if any, are Essential in Your Next Residence? | LUXURY BUYERS
g SMART HOME AUTOMATION g ORGANIC LIVING
g ENERGY EFFICIENT APPLIANCES g LOCAL MATERIALS
73% 70% 43% 38% 36% 32% LUXURY BUYERS
g NON-TOXIC MATERIALS g SOLAR PANELS
79% 72% 47% 39% 36% 36% ASIA PACIFIC
72% 72% 39% 38% 30% 31%
65% 65% 42% 37% 43% 28%
NORTH AMERICA
EUROPE/MIDDLE EAST
© 2022 Luxury Portfolio International. ® All rights reserved. Unauthorized use of this members-only document is prohibited.
I’M LOCAL I’M GLOBAL
®
INDUSTRYLEADING SALES. WORLD-CLASS SERVICE.
MORE U.S. HOME SALES VOLUME
THAN ANY OTHER REAL ESTATE NETWORK, FRANCHISE OR BROKERAGE BRAND. $296 BILLION IN U.S. HOME SALES VOLUME. As an affiliate of Leading Real Estate Companies of the World,® Dickson Realty is a local and global market leader working on your behalf. LeadingRE’s world-class marketing resources and connections allow us to provide you with a truly exceptional real estate experience. ®
$296 Leading Real Estate Companies of the World
1.3 MILLION
$260
GLOBAL TRANSACTIONS
$207
550
$152
Leading Real Estate Companies of the World®
COMPANIES $110
4,600
Keller Williams
OFFICES
$97
150,000
$96
Compass
$72
Berkshire Hathaway HomeServices
SALES ASSOCIATES
70
Coldwell Banker
Sotheby’s International Realty
$37
COUNTRIES
RE/MAX eXp Realty
$29
Redfin
$29
Century 21 Douglas Elliman
$23
Homesmart
$20
Corcoran Better Homes and Gardens
$11
ERA $11 $0 © 2021 Leading Real Estate Companies of the World.® All Rights Reserved. C–Sales Volume. 05.21
Equal Housing Opportunity.
$50
$100
$150
$200
Volume shown in billions of dollars. This bar chart is sourced from REAL Trends 500 for 2020, realtrends.com.
$250
$300
Where You Need Us - When You Need Us 10 Office Locations - Over 300 Expert REALTORS®
PORTOLA
SPARKS
SOMERSETT DOWNTOWN RENO CAUGHLIN RANCH
DAMONTE RANCH TRUCKEE MONTRÊUX
NORTHSTAR INCLINE VILLAGE
LAKE TAHOE
N
11836 DONNER PASS ROAD, TRUCKEE 100 NORTHSTAR DRIVE, TRUCKEE 289 COMMERCIAL STREET, PORTOLA
CAUGHLIN RANCH 775.746.7000 INCLINE VILLAGE 775.831.6600
DAMONTE RANCH 775.850.7000 LAS VEGAS 702.919.4156
SOMERSETT 775.746.7222 TRUCKEE 530.587.7444
MONTRÊUX 775.849.9444 NORTHSTAR 530.562.1140
SPARKS 775.685.8800
DOWNTOWN 775.324.7000 PORTOLA 530.832.1700
DicksonLuxury.com | luxury@dicksonrealty.com
© 2022 Dickson Realty. NV Lic #B.0019733. 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.