Matty’s Minute: A June Market Update

May 2025 served as a transition point in the Tahoe Truckee real estate market, marking a shift in market conditions. The early part of the year saw limited transactions dominated by ultra-premium properties, which skewed market metrics higher. May’s activity suggests a move toward a more balanced market, with a broader range of transactions potentially moderating those earlier trends in the second half of 2025.

The last 30 days experienced the highest transaction count for any month in 2025, surpassing the same period in 2024 for the first time since February.

Conversely, the average sale price of $1,500,000 was the lowest in a year. This lower average price, compared to the $2 million+ averages of previous months, reflects a more typical mix of home sales rather than primarily expensive properties.

Notably, May saw an all-time record sale in Schaffer’s Mill at $6,800,000 (brokered by Tahoe Mountain Realty), accompanied by premium sales in Martis Camp, Lahontan, Old Greenwood, and various lakeside communities. Of the 90 residential sales in May, a third were between $1,000,000 and $2,000,000, the highest number in that range this year. In addition, 40 properties sold below $1,000,000, up from 28 in preceding months. This increase in lower-priced sales reflects the growing availability of entry-level properties as winter conditions improve and long-term leases expire at the end of ski season. Sales above $2,000,000 were similar to peak months in January and April.

As the market looks ahead, inventory will be the story to watch. As of June 1, 589 residential properties are listed for sale—matching the seasonal peak from August of last year and exceeding last year’s June total by 180 homes. This increase includes properties that failed to sell last summer and have returned to market, now joined by a typical influx of new seasonal listings. Combined, they make up the largest supply load the region has seen since 2018.

Ordinarily, a rise in inventory—without a corresponding surge in demand—would apply downward pressure on pricing. However, today’s market is anything but typical. Many homeowners are sitting on 3%–4% mortgages and, despite expressing interest in selling, have been unwilling to let go of their properties unless they can achieve what they perceive as peak value. That said, if economic conditions create even modest relief in interest rates, we could see more sellers willing to meet the market—whether that’s to trade up within Tahoe or to pursue the next chapter elsewhere.

With a full summer season ahead, all signs point to an active and dynamic market in the Tahoe-Truckee region. We look forward to keeping you informed as it all unfolds.

Thanks,
-Matty