L
ake Tahoe’s summer season remains a magnet for real‑estate buyers, whether they’re eyeing a vacation property or a long‑term home. As the season ends, the Tribune reviews how the market performed this year.
Many lakeside markets experienced a slow start, a pattern attributed to a buyer’s market and shifting interest rates. Sabrina Belleici, founder of Inside Incline, cited a dip in consumer confidence amid headlines that stoked uncertainty. Tahoe Mountain Realty echoed this sentiment, noting that a low sales absorption rate was tied to rate volatility. “Today’s buyers are cautious, and simply lowering prices doesn’t always spur action,” the firm said in its August update.
On the south shore, condos averaged $550,000 and single‑family homes nearly $696,000 from June to August. Sierra Sotheby’s associate Dustin Allen reported 217 active listings and 67 under contract, up from 200 and 38 the previous year. “It was a buyer‑friendly market this summer,” Allen said, pointing to unexpected weather as a factor that slowed early activity. Once the market warmed, buyers were more open to creative negotiations, he added.
Luxury sales dominated the summer. Belleici’s team saw a high volume of high‑end transactions, a rarity for the region. Tahoe Mountain Realty found that only 44% of deals fell below $1 million, while sales above $2 million grew, though the $2‑3 million bracket softened. Realtor Ming Poon noted August as the strongest transaction month in two years. Increased inventory, he warned, can lead to “analysis paralysis,” dampening deal flow. Poon also highlighted tax incentives for the wealthy as a driver of the luxury boom. Condo sales cooled, but north‑shore single‑family homes remained robust, with July’s record sales including three properties over $10 million, seven over $5 million, and a $6.85 million sale in Lahontan.
Belleici reported three sales between $20 and $40 million in Incline Village and Crystal Bay, with listings steady throughout summer. “Cash buyers keep us insulated from rate swings, but other listings feel the impact,” she said. Crystal Bay maintained strong lakefront prices, while interest in Cal Neva properties grew as buyers sought proximity to wellness centers and amenities.
Compass’s Kristina Bergstrand noted a surge in lakefront sales on the north and west shores in August, with prices reaching $27.5 million. From late July to late August, eight lakefront deals closed, a majority of the 11 this year—slightly below 2024’s 16—but Bergstrand cautioned that September is typically busy for Tahoe‑Truckee markets. Allen agreed that the holiday season calms activity, yet it offers buyers less competition. He expects rates below 6% to boost affordability.
Belleici observed that pandemic‑era trends—year‑round demand and shifting buyer behavior—persisted. Despite a sluggish start, the market caught up in the final month and a half, surpassing last year’s sales at the same point. She warned that insurance and HOA fees will continue to affect condo sales, and that Incline Village and Crystal Bay remain tied to broader financial markets, likely staying consistent since 2023. Belleici also noted that consumers are becoming desensitized to volatile headlines, reducing sentiment swings as the market evolves.
Poon acknowledged the pandemic’s lingering effects, noting that demand remains high whether people are returning to work or staying home. He expressed concern about affordable housing, especially for locals who struggle to enter the market. Poon, who has helped workers purchase homes, hopes for workforce and first‑time buyer programs that leverage the region’s wealth to sustain Tahoe’s community.
September is expected to be the busiest month for Tahoe‑Truckee real estate, with luxury sales likely to dominate through year‑end while mid‑range properties lag. The market’s trajectory suggests continued demand for high‑end homes, tempered by affordability challenges for average buyers.
