Fractional Ownership Sales in the North Tahoe and Truckee area continued to improve in 2013. Units Sold (73) were 7% above 2012 and Dollar Volume ($6,730,950) was 11% higher. (There was one 1/2 share in a Tahoe City Lakefront Estate that sold for $5,401,000 that I am not including in these statistics because it does not really fit the Fractional Ownership model and therefore would really skew the statistics)
57% of Fractional sales in 2013 were at Old Greenwood, down from 62% in 2012. This is significant because the vast majority of Old Greenwood sales are under $40,000. What changed in 2013 is a slight drop in sales of lower priced Fractional shares and a 5% increase in Fractional shares priced over $100,000. This brought the Median Price of shares sold up by 7%.
As I mentioned in my 3rd Quarter Fractional Ownership Market Report, the most damaging factor for Fractional Ownerships sales has been the disappearance of financing. That situation has not changed and until Fractional financing comes back I expect we will only see slow incremental increases in Fractional sales.
The good news is that cash buyers seem to be purchasing higher priced shares in increasing numbers. At the time of this posting there are six Fractional shares in escrow with a total of listing prices at $1,284,895 (19% of last years total sales volume). Three of those have listing prices over $387,000. Also, of the 119 current active Fractional Ownership listings only one is a Distressed Property and of the 73 Fractional sales in 2013 only 3 were Distressed listings. In my opinion, it has been the large number of Distressed Property listings, along with the lack of financing, that has caused the listing prices of Fractional Ownerships to have dropped to such low levels. That appears to be changing.
There are a large number of choices of different types of Fractional Ownerships that each offer unique lifestyle vacation experiences. For ski enthusiasts there are some very nice Fractional condominium properties available in the Northstar Village and some lovely Fractional single family homes in the Northstar Neighborhoods. For those who want to be on the beach at Lake Tahoe both Tonopalo and Sweetbriar offer very nice lake front Fractional townhomes. For Golfers Old Greenwood is a great choice.
For a cash buyer interested in Fractional Ownership, now is a very good time to purchase. For more information call me at 530-913-6020 or email me at info@GoSquaw.com
Resort Realty Services, Inc. does not guarantee the accuracy of this information. This data was obtained from the Tahoe Sierra Board of Realtors MLS. Not all real estate transactions in our area go through our MLS, therefore, this information may not be completely accurate. CalBRE License #01204227
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