Price Reductions on Some Pretty Great Tahoe Homes – Investment Anyone?
As we enter the mid-summer season (what we in the Tahoe real estate industry call the “shopping phase”) we are noticing that along with Yogi Bear sightings, the number of potential buyers checking out our listings on the internet (and actually making inquiries for further information) are substantially increasing. Over the years, we have noticed a strong trend in buyers using the summer months to explore their options with the thought that “something better might come along.” Eventually, August rolls around and the buyers’ general thought is, “boy, I sure would like to get into a home prior to the snow falling.” Next thing you know, the number of new pending sales go up and everyone is hustling. With just a couple of weeks left in July, some of our sellers have decided to lower their asking prices in order to be at the forefront of the buyers’ top picks in August. These opportunities are so great that we thought we would pass them along to our readers. One never knows where the dominoes might fall so please, feel free to pass the following information along to anyone you feel might be interested. Just in case we lose you, be sure to read this entire piece prior to clicking on any of the links.
Our featured price reduction is 3076 Jacarillo. This home was originally purchased for $687,000. The owners then completed a stunning kitchen remodel, added a workshop out back and fully landscaped the yards. Located in Montgomery Estates and just a few homes down from beautiful forested trails, this beautiful family home is now asking only $519,000 with classy furniture being negotiable. Further information, visual tours, mapping and a photo gallery are all here to be enjoyed. If you are in the neighborhood, stop by our Open House this Saturday, the 24th of July, from 12 – 3.
The next great value to be found is located at 1781 Skyline Drive in Country Club Estates. This property is situated on two combined lots (approximately 30,00 SF of elbow room) with some of the most magnificent views to be found throughout the Tahoe Basin. Street level living features a large living room with vaulted ceilings and skylights, a large dining area and kitchen with hardwood floors and a beautiful stone fireplace. Downstairs are four bedrooms and a bath with a large jetted spa. The owner has decided that now is the time to move on in her life and told us to price it to sell. So we did. All of this now for only $599,900.
Our final pick of the week for great price reductions is 2512 Cattleman’s Trail. Check this out – brand new construction with all the “bells and whistles” is now only $499,000. Where else in Lake Tahoe will you find top of the line construction, three bathrooms all with jetted tubs, hardwood floors, vaulted ceilings, granite counters all in one of the area’s most desirable neighborhoods? Originally built to be the contractor’s own home, no corners were cut when it came to design or quality. Families with small children will especially appreciate the close proximity to the Sierra House School, the fenced yard and steps to the Lake Christopher Meadow with adventures just waiting to be had.
Now, as far as the bear in the above photo – we thought you might get a kick seeing our backyard visitor. Yogi has a preference to wait until Don is done working on the pond prior to jumping in for an afternoon splash. Our biggest chuckle was when he and our cat came face to face the other day. The bear freaked and flew up the closest tree and the cat literally flew across the yard, through the door and up the stairs not to be seen for the next hour. I only wish I had had a video camera handy.
Lenders Could be Held Responsible for Appraisal Selection
Nevada's Oldest Bar
Many of you have been hearing me rant for some time now in regards to the nightmare we are experiencing here in Lake Tahoe in regards to the lending/appraisal dilemma in which we keep finding ourselves in. And, we are not alone. When recently attending the California State Business Meeting in June, I heard the same sad stories across the board. It didn’t matter if it was a metropolitan area or a small country town. The number of folks missing out on the purchase or sale of a home due to a poor appraisal (usually from lack of local knowledge) is running rampant. Hopefully, relief or at least perhaps the pendulum is beginning to swing back from the extreme.
TOn June 30th, Fannie Mae took a step at improving the quality of residential appraisals, by including a requirement that lenders CANNOT use incompetent or inexperienced appraisers. This step was highly applauded by the Appraisal Institute. Fannie also provided further guidance on how comparable sales should be determined and at the same time, are requiring lenders to explain any adjustments made to a property’s appraised value.
Among the guidelines, Fannie will require appraisals to included interior photos. Sadly, a number of borrowers have intentionally vandalized their homes which lowers the value of other homes in foreclosure. They are also letting it be known that lenders are not required to use an AMC and that they are within their rights to speak with an appraiser. Furthermore, the appraiser must respond to a lenders’ request to talk. It should be noted however, that the current HVCC’s rule that loan production staff may not speak with the appraiser still holds true.
These new guidelines with the hope of correcting some of the “unintended consequences” of the Home Valuation Code of Conduct, will begin on all new loans started on or after September 1, 2010. We say hurrah and let’s start to get some of these loans funded and closed. According to Appraisal Institute Government Relations Committee Chair, Richard Maloy, “The buck now stops at the lender.” :Fannie is saying the lender is held responsible for the appraiser’s selection even if they were selected by an AMC.” Personally, I don’t feel that a lender should be held responsible but I will take any steps necessary to clean up this mess. Truly, just as Don and I would never think to represent a client in an area in which we are not fully knowledgeable, I have to believe most ethical and experienced appraisers feel the same way.
South Tahoe Real Estate Market Update, May 13 – 20th, 2010
Yes, it’s May and real estate is supposed to be slow, the weather mild and not much happening. This is certainly no a case of “Ground Hog’s Day.” Although not quite as busy in regards to NEW LISTINGS as last week, never-the-less, it was an active week. According to the South Lake Tahoe Association of Realtors’ MLS, there were 19 NEW (or back on the market) listings this past week which was slightly less than last week’s 21. The lowest priced new listing was $150,000 for 1008 Eagle, a three bedroom home with 1922 square feet. Don’t get fooled by this one. Major work needs to be done. The highest priced new listing was $2,200,000 for 336 Ala Wai #271, a three bedroom, two bath waterfront home with 1558 square feet of living space located in the Tahoe Keys. The overall median new listing price for this week’s newest inventory was $319,900.
The good news was that there were 18 new PENDING sales, up from the previous week’s 14. The lowest asking price among these new pending sales was $129,000 for a small, two bedroom, one bath cabin with 815 square feet of living space. The highest priced new escrow was 2380 Dundee located in the Angora Highlands neighborhood. This home was listed at $790,000. Way to go Pinnacle! The overall median home price among the new pending sales was $314,000 yet with only 17 days on the market.
Now, here’s the really good news!! There were more than double the amount of CLOSED escrows with twelve as compared to five during the previous week. The lowest priced home among the closed sales was $155,000 for a small two bedroom, one bath cabin on Fairway within the Bijou neighborhood. This home was quite the contrast to the $1,060,000 home sold at 1321 Wildwood found within the Heavenly Mountain neighborhood. This home had four bedrooms, three baths and 3, 433 square feet of living space. The overall median home price was $370,000 with approximately 90 days on the market. With the average escrow period being around 45 days, this time on the market is relatively short.
To learn more about the Tahoe real estate market, be sure to visit our website.
The Meyers Neighborhood in So. Lake Tahoe Holds its Own
Meyers, located at the gateway to South Lake Tahoe, appears to be continuing in it’s draw toward buyers. According to statistics offered by the South Tahoe Association of Realtors MLS, the Meyers neighborhood saw an upswing in the number of closed escrows, the median and average home prices as well as the time on the market. When studying sales for the first four months of 2010 as compared to the same period in 2009, we see that there were 7 homes sold as compared to 4 in 2009. The median and average home prices sold were $260,000 and $275,586 respectively which was up from $225,000 and $233,375 in 2009. Another improvement was in regards to the time on the market. In 2010, the cumulative time on the market (which includes the actual escrow period) was 125 days. This was approximately a month quicker than the 171 days reported in 2009.
Following are the seven posted sales for Meyers during the first trimester of 2010.
1079 Modoc was built in 1974 with 1,200 SF of living space sold for $260,000.
1198 Tomahawk was built in 2009 with 2,130 SF of living space was a bank-owned sale at $410,000.
1139 Modoc was built in 2006 with 2,286 SF of living space was a short sale at $440,000
1194 Apache was built in 1981 with 1, 120 SF of living space sold for $287,000.
1998 Cherokee was built in 1971 with 1,228 SF of living space was a bank-owned sale at $210,000.
1964 Cherokee was built in 1961 with 1,088 SF of living was a bank-owned sale $172,100.
1596 Arapahoe was originally built in 1977 and included an unfinished upstairs addition. This property sold for $150,000.
Actually, when you consider that over half of the homes sold in Meyers during the first trimester of 2010 were bank-owned or short sales, the improvements in the above mentioned categories were a welcomed sight.
Country Club Estates Show Positive Moves in Tahoe Real Estate Market
According to the South Tahoe Association of Realtors MLS, the news is looking a bit better for the Country Club Estates neighborhood. When looking at a comparison of the first four months of 2010 in relation to that of 2009, improvements were noted in several areas. The positive trends were in regards to the number of homes sold, the average sales price, the time on the market and the dollar per square foot. In 2010, there 7 closed escrows averaging a sales price of $365,343 at approximately $230 per square foot and a cumulative time on the market of 158 days. During the same period last year, there were only 3 homes sold at an average sales price of $341,833 with an average $207 per square foot and a cumulative time on the market of 220 days. Although better than 2009, the numbers were slightly lower than the average sales price of $548,980 at $252 per square foot and a cumulative time on the market of 142 days.
The median home price during the first trimester of 2010 was only $312,500 which pretty much in line with the $318,500 median home price found throughout the South Lake area. The median price of $318,500 was down from last year’s $395,000 posted at the end of April.
Following are the seven posted sales for Country Club Estates during the first trimester of 2010.
1887 Elks Club was built in 2005 with 2,678 SF of living space and was a short sale at $565,000.
1637 Sawmill was built in 1976 with 2,000 SF of living space and sold for $310,000.
1636 Thunderbird was built in 1972 with 1,288 SF of living space and was a short sale at $312,500.
1545 Tionontati was built in 1973 with 1,728 SF of living space and was a bank-owned sale at $206,000.
1451 Glen Eagles was built in 1981 with 2,068 SF of living space and sold for $450,000.
1209 Country Club was built in 2005 with only 598 SF of living space and was a bank-owned sale at $228,900.
1863 Crystal Air was built in 2009 with 1,700 SF of living space and was sold over asking at $485,000.
They’re baby steps but we’ll take every step we can.