Chase Report Shows Huge Upswing in 1st Quarter Lower-Market Sales
LAKE TAHOE, Nev. (April 6, 2010) – The Reno-Tahoe real estate market had begun the year with continued signs of growth as home and condominium sales show significant increases throughout the area. The quarterly report, released by Chase International compares home and condo sales from January through March 2010 to the same period of 2009.
Sales of single-family homes in Lake Tahoe were up 52 percent and Reno-Sparks saw a 26 percent increase in home sales. Carson Valley experienced a 27 percent jump while Truckee home sales were up 44 percent. Sue Lowe, corporate vice president of Chase International, notes that the strong upswing in sales is a partial result of short sales and bank-owned properties, federal tax credits for first-time homebuyers as well as investors coming back into the market.
“There is a significant amount of activity in the lower-end of the market. The abundance of short sales and bank-owned properties is creating some once-in-a-lifetime deals. Combine that with tax credits and we’re seeing homes move quickly. That inventory is dropping at an impressive rate compared to what we had a year ago.”
First-time buyers hoping to take advantage of the $8,000-federal tax credit must have their homes in escrow by April 30 with sales closed by June 30. State tax credits are also available.
Reno-Tahoe home sales are following in suit with national trends. The National Association of Realtors (NAR) recently announced that pending U.S. home sales climbed way above expected projections to 8.2 percent in February primarily in response to the homebuyer tax credit.
“The rise in buyer contract activity may signal the early stages of a second surge of home sales this spring,” Lawrence Yun, chief economist for NAR, said. “The healthy gain hints home prices are continuing to flatten. We need a second surge to meaningfully draw down inventory and definitively stabilize home values.”
Lowe acknowledges that home prices are slow to recover due to the amount of short sales and bank-owned property deals. “Those deals have been making up a good part of the market, but they’ve also been driving down home prices. I believe that the market will continue to correct itself and we’ll see some strong activity in the next few months.”
For homes priced over $1 million the East Shore was up 33%, Tahoe City up 100%, South Lake Tahoe down 50%, Incline up 117%, and Truckee down 8%. Reno/Sparks was down 13% and the Carson Valley remained flat. The under $1 million Tahoe market showed significant double digit gains with East Shore up 25%, South Shore up 41%, Tahoe City up 90%, Incline up 64% and, Truckee up 55%. Reno Sparks under $1 million market was also up an impressive 27% and the Carson Valley up 28%.
The condo market was up across the board with Lake Tahoe posting a 143% increase in units sold and Reno Sparks posting an 83% increase.
A complete breakdown of Chase International’s year-end sales report can be viewed at Chasenation.com.
Headquartered in Lake Tahoe, Nevada since 1986, with eight offices in the region (Zephyr Cove, Glenbrook, Incline Village, Tahoe City, Squaw Valley, Truckee, South Lake Tahoe and Reno) and one in London, England, Chase International and its exclusive affiliations handles a large share of the country’s property. A recognized leader in the world of real estate, Chase International has once again taken the reins of cutting edge technology by launching www.ChaseNation.com, the first interactive social networking website created by a real estate brokerage as a vehicle for direct interaction with consumers online.
With nearly 200 professional Realtors® boasting an array of industry certifications and the highest volume per sales agent in the area, Chase International successfully represents homes at all price levels. For more information about Chase International visit www.chaseinternational.com.