For years, patience has been the golden key to seizing the best real estate opportunities in Lake Tahoe’s idyllic haven. However, things have changed since 2020, and the days of waiting for year-end bargains are quickly coming to an end. The message is clear. Procrastinating buyers will be disappointed.
Unlike in the past, homes and condos priced near fair market value are attracting showings in quick succession each week, and some are attracting multiple offers. Imminent hesitations associated with high mortgage rates are expected to be dissipated as the Federal Reserve signals lower interest rates, especially in 2024, an election year. Once interest rates fall, buyers’ bargaining power will weaken, potentially reigniting the frenetic pace seen during the pandemic real estate boom. Stable prices and an influx of informed buyers characterize the current scenario. Historically low inventory levels require buyers to act quickly to take advantage of optimal sales prices and seller concessions, and possibly refinance later.
The old strategy of waiting until spring or summer to make a purchase doesn’t seem wise this year. Sellers are likely to list at a premium, expecting the property to sell throughout the summer. More buyers will enter the market, attracted by lower interest rates, making the market more competitive. Procrastinating buyers may find that the dream property they were hoping to get once winter is no longer available. Especially since some sellers are sticking to their asking prices in anticipation of an impending drop in interest rates.
For those who were hoping to return and write offers in the summer, disappointment may creep in. Pent-up demand from urban fugitives remains evident, and desirable properties are unlikely to remain until the snow melts and the beaches open. Although the number of new properties will continue to increase little by little until April, it is unlikely that the number of vacant properties will increase rapidly during the winter. New listings increase as summer approaches, but they tend to move quickly.
The winning strategy for buyers in 2024 is decisiveness. Procrastination is a dangerous game in a market where opportunities can be snatched away quickly. Seek the assistance of an experienced local agent who understands the unique customs, rules, and nuances of each Lake Tahoe community. Experienced agents provide comparable sales information and expertly guide buyers through negotiations to ensure the best possible deal.
As winter deepens in Incline Village, those who take bold action may be rewarded, while those who procrastinate may suffer. We advise potential buyers to make quick decisions to survive the current real estate climate, rather than waiting for warmer weather and more listings. The season of opportunity is upon us, and those who seize it are poised for success.
Sabrina Belleci is the co-founder and owner/broker of RE/MAX North Lake.