Chalk up another incredibly beautiful day in the mountains! This is why we live here and why so many enjoy having a second home in Incline Village. Time to get outside and take advantage of “Spring” conditions early, just remember the sun block!

January snap shot of real estate market:

Residential Market by Subdivisions- Listings  for sale- Under contract-Solds

Planned Unit Developments- Listings- Under contract- Solds

Condominiums- Listings- Under Contract- Solds

Realty update

The foreclosure lists keep expanding  with 4 pages of notices, which for our small community is substantial. It is tough when you recognize the names of friends, teachers, lenders, contractors and agents joining the ranks of the “notice of default” list or worse, foreclosure status.

Price reduction

A price reduction hit the list today on  590 North Dyer it was $649,000 is now $599,000 now it lines up as a good value and still in need of some TLC.

New listing – 841 Tanager- $759,000 Town home (PUD) will be listed today located on the corner of Tanager and Southwood. A small complex of free standing town home with the same great room  floor plans found at Country Club Villas at half the price! Walking distance to the beach, never on a rental program, rarely used by owners, excellent condition. Three bedrooms+ loft office off master, two and ahalf baths, two car garage.

January draws to a close with lean sales figures and a great inventory for buyers in all price ranges.

Planned Unit developments (free standing town homes with Home owner associations)

There are 53 pud’s for sale with the highest number found in “Lake Country Estates” development. This new  development has virtually stopped in its tracks with the markets down turn. There are 7 units on the market including new and resales. The developer needs to move inventory so they are offering your pick of 1 of 4 locations for $999,999 (though they are listed for $1.2 to $1.4 million). We have a beautifully furnished unit 4in the  complex asking $1,050,000. For those who want to be closer to the Lake “Country Club Villas”located just a block from the Hyatt, has 5 resales ranging from $1,070,000 to $1,245,000: 3 bedrooms, 2.5 baths, 2 car garage, 2100 sq.ft.

PUD’s Active by price range

Price range                   Number of units

$100,000-$400,000          8

$400,000-$500,000          6

$500,000-$600,000          9

$600,000-$800,000          3

$800,000-$1,000,000        2

$1,000,000-$1,500,000     22

$1,500,000+                      3

Sales activity is for January: 1 closed sale and 2 under contract

Read the rest…

Finally a lake front condominium ON THE LAKE with panoramic views and steps to your personal boat slip.

This 3 bedroom, 3 bath beauty has been remodeled from top to bottom! It was just reduced to $1,650,000 offered furnished with a strong rental history.

Take a look and if you are ready to see it in person give us a call- 775-843-7002 (Patti- cell)

775-691-7000 (Chris- cell)

I can vouch for the quality of this property!

http://www.tahoehometours.com/IDXtour.asp?tour=CS18

It all started with a postcard sent to property owners in 2002 announcing  a new property assessment value card. Easily discarded by owners due to the bold face type stating “this is not a tax bill”.

Village League to Save Incline Assets vs. Washoe County Tax Assessor

Little did property owners, especially those residing in lake front homes, understand their property  taxes were increased anywhere from 49% to as much as 375%  from the previous tax bill!!!  No prior notice or justification simply a notice followed by a bill.  It was blatantly obvious the tax board was targeting Incline Village and Crystal  Bay  home owners many of which are second homeowners.

Assessors were basically valuing properties using an unjustifiable methodology which favored excessive tax increases.

From its first efforts which started in December 2002, the “Village League to Save Incline Assets” has succeeded in influencing the entire appraisal system for assessing real property in the state of Nevada! It took six years of litigation, education, protest and the engagement of many experts by the Village League. In so doing, the  Village League successfully turned the tables of change. They worked with the Washoe County  Commission to appoint qualified people to Washoe County Board of Equalization to make property decisions that effect the public; they worked with the Nevada Tax Commission to update the rules and regulations; they assisted the legal system to obtain justice from the Nevada courts and educated the public as to what can be accomplished when dedicated citizens work together!

This year property owners received a minimum 10% reduction in their property tax bill for the assessed land value.  In addition there is a new proposal for an additional 15% reduction  presented by Josh Wilson, Washoe County Assessor to the county board on  January 28, 2009.  This 15% reduction proposal is related to a reduction in average taxable land values.

Wilson came up with the 15% figure based on the downward trend over the last year in the real estate market.  Before the proposal can go into effect each parcel’s tax bill will need to be calculated based on their current valuation.

In a new slight of hand trick, the Washoe County Assessor has responded by increasing the valuations of the structures on the properties.  Whereas the Save incline Village groups main fight was based on the valuation of the land.  There are many things that can be said about politicians and tax collectors, and one thing for sure is that they are never going to give themselves a voluntary pay cut and our real estate is their meal ticket.  Keep your eyes on your tax statements because they’re going to try and raise your taxes no matter what.

I have been on both sides of writing and receiving low-ball offers; working with buyers, sellers and agents. There are some common mistakes made by agents and buyers when writing and presenting a low-ball offer, here are a few of them.

A low-ball offer should never be written in the first place until the buyers’ agent has talked to the seller’s agent. Find out the sellers motivation level, past offers that were rejected and why. It is a waste of time to write an offer when a seller is simply going to reject it. The seller’s agent can give direction on what the seller considers strong points such as the length of escrow and/or taking the property in “AS IS” condition versus asking for repairs. I had a buyer interested in a making an offer on a “short sale” and after calling the seller’s agent I found the property had 6 offers already, 2 of which were above asking price. The buyer agreed to not pursue making an offer.

Earnest money deposits can say volumes about a buyer. To submit an offer, an earnest money deposit is required and can range from $1000 up to on average 3% of the sales price. To present a low-ball offer with a low earnest deposit shows a lack of confidence and ability to afford the property. No seller wants to deal with a low offer and a high risk buyer.

I had one buyer who wanted to write an offer on a listing I represented and wanted it to be accompanied with a hardship note to the seller. The buyer wanted the seller to help by offering to finance a loan with a very low down and allow them to make structural changes to the house after they closed. I never wrote the offer. Instead I relayed the information to the seller who flatly refused to even entertain such an offer. Hardship stories in this second home market don’t fly.

Submitting an offer based on comparable sales that are not realistic can add insult to injury and hurt the buyer’s chances… Granted sales are down, yet here (Incline Village, NV) the median selling price has not taken a big dip. Use realistic sales and compare/contrast why they relate to the property. A buyer’s agent can risk being alienated by the seller’s agent by submitting an unrealistic comparable list when they really need to be establishing a cooperative relationship instead.

Write the strongest offer taking into consideration why the seller is selling. Find out how as a buyer you can help them move. Keep contingencies to a minimum in, if possible offer cash. If you need a loan  to accompany the offer with a pre-approval letter. Don’t give the listing agent any reason to doubt your ability as a buyer to perform.

Be prepared to negotiate. The famous last words “this is my final offer” in reality carry little weight and tend to discourage sellers from countering any offer let alone a low-ball.

If a low-ball offer is not flatly rejected and the seller counters, as a buyer view this as a positive! This is when experience and patience shines. Always counter a counter offer, sometimes it’s difficult for a buyer when they get a strong counter in response to a low-ball offer. This might be the starting point for the seller to get a reality check especially if this is the first offer. The longer a house is on the market the odds are in the buyers favor.

What if it doesn’t fly? Don’t get discouraged when a low-ball doesn’t work. Sellers have reasons for rejecting an offer.  New listings always run the risk of thinking their will be another buyer. Our motto has always been the first offer tends to be the best so don’t reject it! An offer in this market is one that warrants consideration!

The Open House tour today had a small number of properties which was allowed me time to take in the inauguration. I also sent up a prayer for better days ahead as a nation!

Tour line up- Links are supplied to each property

Two McCloud condominiums –

One bedroom- ground floor unit with 800 sq. ft. of living space- 1 bed – 1 bath- The outside hot tub and sauna are just steps away from this unit- a plus for all one bedrooms within the McCloud complex. There are nine clusters within this complex and each has a three story building with three one bedroom units and a one car garage below. Unit # 221 is a clean unit offered furnished at $419,000.

Two bedrooms- Unit # 13 is on the second floor with a nice forest orientation and sunny deck located off of Village Blvd. It was listed at $579,000 but reduced to$559,000 after tour today. The upper units have vaulted ceilings in the open living/dining room and a small master suite, one guest bedroom and full bath. Each unit has a one car garage. They run 1,111 sq ft with fireplace in living room. This complex is appealing with rolling lawns and the close proximity to recreation center, beaches and Hyatt hotel. This is probably the best 2 bedroom listing within the complex.

938 Jennifer Street- Older home with not much street appeal- 1,576 sq ft. on a nicely wooded lot. I guess some buyers/sellers classify this as a cabin but the words fixer upper seem closer to a description. Two years ago this price would have been for the lot alone, now you get a house too. It has been a rental program for years so TLC is not that evident. Parking is limited to one covered parking slot under the deck and a somewhat steep driveway. At $515,000 this makes more sense versus the original starting price of $625,000.

867 Jennifer Street- Remodeled home which truly deserves a before and after photo to appreciate what the face lift these owners accomplished. This is going to be a tough location for most buyers to get around located on a corner lot overlooking Hwy 431…traffic noise will be an issue.

The staging lends itself to a warm and beautiful layout and felt larger than 2,394 sq. ft. The vaulted ceilings in the great room layout give the main level a grand spacious feel. The master bedroom suite is on the upper level and two well sized bedrooms and family room occupy the lower level. The finishes throughout were well done and staged very nicely (offered furnished at $999,900), it seems to be priced on the high end for this location.

860 Jeffrey- A walk in the past is the only way to describe this cabin with a creek side setting. Priced at $599,000 you will need to use your imagination to see the potential of this home. The tree branch extending the length of the living room hanging from the ceiling made you stop and ask…why? Come to find out it is used as an exercise training branch for working out…in twenty years I haven’t seen such a fixture before. The price may need some trimming down of its own to entice a buyer.

986 Dorcey Drive- Lakeview home with architectural appeal – this one wins for best property on tour- The private setting surrounded by forest service parcels and views of the mountains and beautiful. The 4,158 sq. ft. are spread out over two levels. The main floor has large picture windows and tons of natural light. It sparked the interest of agents since there were three showings scheduled immediately after tour. Worth a look for the client after a private location and excellent construction priced at $1,425,000.

198 Country Club Villas- #28- Offering 2,108 sq. ft. This complex of freestanding town homes or as Incline defines them (Planned Unit Developments-PUDs) gives owners a great location within the village for year round enjoyment. Walking distance to beaches, Hyatt, Recreation Center and Lakeshore Blvd. The units all have great room floor plans with vaulted ceilings, fireplaces, and the master bedroom suite on one level; two bedrooms one bath and a two car garage complete the lower level. Priced at $1,070,000.

929 Northwood Blvd- Third Creek- Unit 107 priced at $859,000- furnished. Complex has outdoor pool, clubhouse and close proximity to Chateau and Championship golf course. There are a variety of floor plans within this complex and worth checking out the various settings the complex has to offer and construction finishes from old Tahoe to contemporary finishes.

Condominiums

1) Coeur Du Lac #49 -3 bedroom , 2 bath , 1200 sq. ft. condominium listed at $510,000- clean unit- Master bedroom on entry level and two bedrooms plus full bath upper level. Vaulted ceiling living room with gas fireplace. This unit has gas for heat versus older units which are still electric.  This is the lowest priced 3 bedroom unit out of 3 listed for sale. There are three 1-bedroom units for sale priced $359,000-$375,000 offering 753 Sq. ft.  This complex had major assessments last year which most owners have paid. The assessment included new roofs, siding and for some units, windows. The close proximity to Lakeshore Blvd and walking distance to Ski Beach are big pluses for this smaller complex of approximately 50 units. There is a small swimming pool on site. CON Flyer View (MLX) Sample of 1 & 3 bedroom listings.

2) 1000 Lakeshore Blvd- This one hits the best buy list for size and location.  3 bedrooms, 2.5 baths, 1 car garage, 1936 sq ft. priced at $649,000. Located across the street from the Hyatt Hotel & Casino and 1.5 blocks to the beach, this is an attractive buy. There are only 2 units on the market in this complex. From the street, the gray buildings don’t offer much appeal, but once inside large picture windows looking onto landscaped grounds capture a real Tahoe feel. It is priced as a furnished unit and has a rental history. This is worth a look if 3 bedrooms is on your list.

3.) The Pointe #14- 933 Northwood Blvd.- 2871 sq. ft. $1,695,000 CON Detail Client View (MLX) There are three listings for sale in this high-rise (three levels) building; this is the highest priced 3 bedroom unit. The complex offers underground parking, contemporary finishes inside, on one level with elevator access directly to your door.

4) Third creek-# 174- 3 bedroom, 2.5 bath, 1 car garage, 1846 sq. ft. priced $859,000. This complex has tennis courts, swimming pool, clubhouse and walking distance to Championship golf course. There are six units all 3-bedroom units listed for sale ranging in price from $799,000-$859,000. This particular location backs to a year round stream and offers privacy. It is not offered furnished and is in original condition, built in 1993.CON Detail Client View (MLX)

Planned unit developments

5)  Country Club Villas- # 31 Price: $1,140,000 3 bed, 2.5 bath, 2 car garage, 2130 sq. ft. There are 5 units on the market ranging in price from $1,070,000 to $1,245,000. Prices differ based on location in the complex and the quality of the finish work. The layouts are basically the same with the master bedroom on main living level and two bedrooms and one bath on the lower level. Country Club Villas are walking distance to Hyatt Hotel & Casino and beaches. Free standing units with a higher density feel, some decks are a little close to the neighbors so location is key.  PUD – Multi-Column View

(LINK TO TWO UNITS)

6) Wood Creek #3 -873 Northwood Blvd.-A new complex with 5 units and one duplex. This development is under construction with one sale pending. This small complex resides across from the Vertical fitness gym on Northwood blvd. and the local hospital on Alder Avenue. These units are spacious with 2435 sq. ft., 3 beds, 2.5 baths, and 2 car garages backing onto a year round stream. The finish work is impressive and worth a look if a freestanding townhome is a consideration. Priced at $1,195,000, this little complex will give Lake Country Estates (located on College Blvd) a run for their money. Lake Country Estates has 57 units of which 25 have sold over the years. Wood Creek owners are motivated to sell one of six locations listed at $1,200,000 for $999,999) Motivation is in the air!

Residential

7) 240 Pine Cone Circle The only residential home on tour today. This location within Millcreek subdivision has a large level lot and perfect for a family with kids. I found the layout a bit chopped up which can happen when a remodel versus tear down occurs. It is priced well based on per sq. ft. value at $569 a foot. It sold in 2004 according to public records for $1,387,000, remodeled in 2002.

RES-2per V.T. PPSF LKFT ACTIVE

Tuesday, January 14th’s Broker open house tour for Incline Village is summarized by Patti Plastiras, a Broker and Owner of Lakeshore Realty.  She can be contacted at 775-831-7000 with any questions on the properties above and/or any other properties in Incline Village.

Review of sales by subdivisions

Total Incline Village Residential home sales totaled 84- 20 closings occurred in- MillCreek (10)
& Lakeview Sub (10)

·   This indicates the highest numbers of buyers were attracted to the lower elevation subdivisions of MillCreek and Lakeview which run along Lakeshore Blvd.  As we locals say on the “dry side” of Lakeshore Drive.

·    The median lot size was .40 acre.  Most of the properties are useable level lots versus other elevations where outside living is restricted to decks.  There are several stream zones running through both areas which can require restrictions with set backs.  Many owners enjoy the ambiance of a stream and don’t see this as a problem.

·         The median size home sold was 2600 sq. ft. the largest home was 4779 sq. ft.

These areas are both excellent for an entry level home buyers since most improvements to the older homes will be worth it when it comes time to sell or for your own enjoyment.  These two areas have many remodels and tear downs underway so look for new homes being completed next year with $3,000,000+ price tags.  It all helps increase values for current homeowners.  The land is valued high due to a limited supply and properties which offer buyers or developers the opportunity to tear down an existing structure and rebuild a much larger home.  Each lot has a score from the Tahoe Regional Planning Agency (TRPA) which dictates how much land can be covered (coverage)
with 30% being the maximum allowed.  Level lots tend to bring in the highest IPES (Individual Property Evaluation Score) and therefore allowing for larger, new homes versus early 60’s-80’s construction.  This explains why land
values in these two areas have increased instead of the homes.

You can’t beat the close proximity to beaches and the friendly neighborhood atmosphere of safety for kids to ride bikes or walk to many amenities including the recreation center.

One of the most challenging jobs a broker/agent faces is coming up with the right listing price for a property.

A “Comparable Market Analysis or CMA” should indicate information on sales in the neighborhood within the last 6 months to a year to be used as comparables. If there are no homes offering good comparables you expand the search to homes outside the neighborhood with features similar to the house being listed. You then add or subtract based on the features and benefits one home has over the other.

A challenge we come up against with potential sellers is them telling us how much they “need” to get out of the sale, not taking into consideration the market conditions or competition.

What a seller needs or wants to get out of the sale is not relevant to a listing agent and more importantly to a buyer. As an agent, we want to understand a seller’s position. If the price is off base with the current market conditions it is a lose-lose situation for everyone.

“Buying a listing”- this occurs when agents are hungry to acquire inventory at any price in the hopes of being able to drop the price if the house isn’t sold

They too were once buyers and looking for the best deal they could get but when the shoe is on the other foot they somehow think all buyers will try to offer less, low ball and they want to discourage this right up front with a higher price. If only that logic worked…What happens when an agent isn’t honest with a seller when it comes to price?

Sellers who decide on a price for their homes based on what they need to get out of it are in a loosing situation and so are their agents. Wasting time marketing an overpriced home normally results in the overpriced home being shown to sellers to prove their pricing strategy is in order.

A second way method of pricing is coming up with a per square foot price. Taking the price per square foot of sold properties of like quality. Both methods will get you close to a price range the property will likely sell at. You also take into consideration the competing properties on the market for sale, properties under contract and sold properties.

This all makes sense until the seller feels it is worth more money versus the neighbor’s home which sold. Taking the ego and emotions and financial scenarios out of the equation is one of the main reasons you hire a real estate professional. Our task is to objectively tell you where your property fits in the inventory of properties on the market and why.

If the property is priced to high when first listed it runs the risk of being marked as an overpriced listings and serves the competition well. Agents will show your house only to prove to the buyer how well priced another property is in comparison.

“Let’s price it high we can always come down”.

You will miss the buyers who are looking in the price range your property should be at versus one they can’t afford. By the time you reduce those buyers have moved on. Coming on the market and being viewed as a good value is where you want to be positioned. You may have to reduce your price as the inventory changes but the excitement of being a “new” listing is gone. Coming on the market and being perceived as overpriced can deter agents from showing the home. If an agent doesn’t see the value it is not likely their client will either.

Honesty and knowledge of the market are paramount when pricing