Dream homes for sale in Lake Tahoe
Lake Tahoe is one of the most expensive and complicated destinations for real estate purchases.
It spans two states—California and Nevada—and has about 70 miles of shoreline. The lake itself is about 22 miles long and can take 40 minutes or more to drive around. People talk about North Lake Tahoe and South Lake Tahoe. The destination has long been a favorite of billionaires, millionaires, celebrities, and all of the above. It also garners interest from prospective buyers who want second homes they can rent out.
Bill Dietz, co-founder and president of real estate at Tahoe Luxury Properties, has explored all the areas in his many years there. He says it has been a very active real estate market in all the geographical locations in recent years.
But the fact that Nevada residents only have to pay federal taxes and no state taxes has made it a more viable options for retirees and those who don’t have ties to California. California does require anyone who has a business or earn an income there to pay state taxes, even if they live in Nevada.
“For retirees, it can be lucrative,” he says.
Demand for housing is high on the Nevada side, but there is limited inventory.
“It’s definitely a seller’s market,” he says.
But the California market is also doing well.
It is within driving distance of the Silicon Valley, and many technology and other entrepreneurs who have made quite a bit of money have income to buy second homes in a place that offers winter sports and summer fun.
“That high-end upper-end niche is seeing higher activity both in listings and transactions,” he says.”The market tends to follow what the equity markets do.”
Properties under $1 million are not abundant so when they come on the market, they generate a lot of interest.
“There’s more velocity in that market. More buyers,” he says.
Todd Disbrow, an adviser at Engel and Volkers, says Incline Village in the Nevada side of Lake Tahoe has seen many high-end transactions. It is one of the most desired locations because it has many beautiful beaches and is close to the airport.
Overall, he says, it is a seller's market now. Many people appreciate that Lake Tahoe is a year-round destination: skiing in the winter and swimming and hiking in the warmer seasons are easy things to sell.
Prices have sky-rocketed with some properties listing or selling for $40 million or more. Tycoons such as Larry Ellison, the founder of Oracle Corp., and hotelier Steve Wynn have owned properties there.
So when a listing below $1 million or even $2 million comes up, it piques prospective buyers' interest.
"There’s a lot of people fighting over the cheaper properties," Disbrow says.
Take a look at five properties for sale in the gallery above.