Statewide, there’s been a raise in median price of nearly 8%. There is heavy, pent up demand for single family homes under $1M statewide. Buyers are ready for the summer season and are anticipating inventory.
Rentals are becoming fewer and farther between for long term residents. Buying a home has become a more affordable option for those that qualify for a mortgage loan. Mortgage rates are decreasing, but are still over 20% higher than they were in April of 2022.
Looking at multigenerational views of real estate, many millennials are waiting to purchase homes until they better understand the economic certainty of 2023. In contrast, Gen Z is looking to invest now with the hope to accrue personal wealth in a real estate asset.
Younger generations view home ownership as an opportunity to build personal equity. They expect the industry to ebb and flow, with the understanding that housing will continue to increase in demand.
Our forecast going into summer 2023 is that home prices will not increase as much as they did in 2022. We will continue to mirror the growth of the Bay Area markets; though, with less inventory and higher demand, we expect Tahoe Truckee median home prices to be elevated in comparison.
With a weakened supply and heavy demand, the Tahoe Truckee markets will remain stable.
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