By Reno Tahoe Mountain Realty, February 8, 2024
The opening month of 2024 is delivering a case of déjà vu for the Reno Tahoe real estate market. January 2024 offered a nearly identical result to same month in 2023 with 205 residential transactions and approximately $125,000,000 in total sales volume.
This figure lags the historic average for January by a meaningful 40%. In 2023, January underperformed the rest of the year relative to historic averages. A year ago, it was easy to ascribe this performance to an overabundance of winter weather and tight inventory. This year, weather is much less a factor however inventory remains constrained with just 4 months’ supply available.
There is a prevailing sense of optimism for conditions more favorable to buyers in the form of friendlier interest rates which will, in turn, unlock supply from would-be sellers able to make subsequent purchases. Perhaps ironically, the expectation of these improved conditions may be stymying near-term activity as consumers await the better times to come.
Of the relatively modest number of transactions, pricing was robust, continuing an upward trajectory from the second half of 2023. Average price notched up ever so slightly to $617,000 in January.
Similar results are likely through Q1 with the expectation of improving velocity beginning in early Q2 through year end.
Elsewhere around town:
Reno is a growing real estate frontier and other Nevada real estate data points
High interest rates have driven a record number of cash transactions
The Reno Tahoe airport injected $3.6 billion into the local economy in 2023; double the figure from a decade prior…
… $3.2 million of which is from the Wild Sheep Foundation, in town now
Meanwhile the Art & Culture sector contributes over $80 million