The real estate market in the Reno-Tahoe area has shown remarkable growth and resilience in the first half of 2024. When comparing the market’s performance with recent years, it becomes evident that 2024 continues the trend of increasing property values, despite fluctuations in sales volume.
January 2024 started with 861 active listings and 208 units sold, resulting in a sales volume of $129,329,000 and an average price per unit of $621,774. February maintained a similar level of active listings at 857, but the number of units sold increased to 261. This uptick pushed the sales volume to $171,933,000, with an average price per unit of $658,747.
March saw a significant increase in active listings to 1102, although the number of units sold slightly decreased to 258. Nevertheless, the sales volume rose to $176,409,000, with an increased average price per unit of $683,756. April continued this upward trajectory, with active listings surging to 1388 and units sold rising to 310. The sales volume reached $210,704,000, with an average price per unit marginally dipping to $679,690.
May marked a peak in sales activity, with 1176 active listings and 359 units sold, culminating in a sales volume of $257,907,000. The average price per unit soared to $718,404, the highest so far in the year, highlighting the premium buyers were willing to pay. June sustained the momentum, with active listings at 1168 and units sold increasing to 385. The sales volume for June was $269,219,000, with an average price per unit of $699,270.
To provide historical context, the average price per unit in 2024, at $685,881, has significantly increased from previous years. For example, in 2023, the average price per unit was $672,222, and in 2022, it was $661,605. This upward trend in prices reflects a strong demand for real estate in the Reno-Tahoe area. Comparing this to 2006, where the average price was $381,110, it’s clear that property values have nearly doubled in the past 18 years.
The median price has also shown substantial growth. In 2024, the median price reached $550,000, compared to $525,000 in 2023 and $541,000 in 2022. This indicates that not only are average prices increasing, but the typical property value is also on the rise, suggesting a broad-based appreciation in property values.
Overall, the Reno-Tahoe real estate market in the first half of 2024 has demonstrated strong performance with increasing property values, continuing the positive trends seen over recent years. The combination of high demand, limited supply, and economic factors have contributed to this growth, making the region an attractive market for both buyers and investors.
Current inventory stands just over 3 months of supply, tilting conditions further in favor of sellers, while still offering buyers ample choices to make a reasoned purchasing decision. As inventory dwindles over the busy summer selling season, expect a slight uptick in property values through the second half of 2024.
Currently supply sits just over 1,100 active listings, equal to approximately 4 months supply. This generally indicates a balanced market wherein prices should remain stable. We expect inventory to continue to proliferate for another 30 days before the summer sales season begins to absorb supply at a more rapid rate. Given the momentum in the market and a general acceptance of interest rates at current levels, a small amount of upward pressure may present itself.
