Incline Village Real Estate 1/14/19
Winter has made its presence known at Lake Tahoe with several more snow storms lined up to hit the basin during the coming week. But the Incline Village real estate market is acting like it’s summertime with 9 properties going into escrow and 5 places closing escrow. We are still seeing good showing and sales activity for the 3rd straight winter, which is rather unusual. However, the California economy continues to hum along at a nice pace in spite of the partial Federal government shutdown.
Speaking of the shutdown, we don’t expect it will have any significant impact on Incline Village real estate sales. About half of all the transactions in our community are cash purchases. Also, we have very few Federal government workers among our local homeowner population. However, we could see impacts to air travel that may affect visitor levels if the shutdown continues to the point where TSA and FAA staffing problems occur. The vast majority of visitors to Lake Tahoe arrive by car, so in the short term things look ok especially with the improving ski conditions.
Checking out the action on the Incline Village real estate scene, there’s one new listing in McCloud to contemplate. #57 is 2BR, 2 bath, lower unit on the Village Blvd. side of the complex. This 1,089 square foot condo features and upgraded kitchen with stainless steel appliances and a nice slate tile floor. The development is known for its proximity to the beach along with having easy access all year ‘round. Amenities include common area sauna, hot tub and each unit gets its own 1 car detached garage. Offered at $640,000. Click Here to See More Photos
We often get inquiries from people asking about investment opportunities at Lake Tahoe. The main thing to keep in mind is that cap rates tend to be relatively low due to the high cost of property and the moderate rents that can be charged at Tahoe. Most of the local workers earn modest wages and increasing rents have created an affordability crunch for many. If you are investing for long term appreciation (as opposed to monthly cash flow) you can generally find good opportunities. However, most people purchase Incline Village real estate for the enjoyment of the property and our community. If you’re seeking cash flow returns of 5% or greater, it’s hard to find those types of deals at Lake Tahoe.